MCX & NCDEX

MCX
Multi Commodity Exchange of India Limited Headquartered at Mumbai. Mr. Ashok Jha, IAS (Retd.) - Independent Chairman Mr. Jignesh Shah - Non-Executive Vice-Chairman

It is state-of-the-art electronic commodity futures exchange.

 November 2003

Market share of over 80%

Sixth largest.

Normal Session Agri

Monday to Friday

10:00 AM TO 05:00 PM

Normal Session Agri

Saturday

10:00 AM TO 02:00 PM

Normal Session Non-Agri

Monday to Friday*
Saturday

10:00 AM TO 11:30 PM

Normal Session Non-Agri

10:00 AM TO 02:00 PM

Special Session All Monday to Commodities Saturday

09:45 AM TO 09:59 AM

Dealing Alliance
All futures contracts on MCX-SX are cash settled. There are no physical contracts. Trading takes place on the dedicated terminals available to the members of exchange. All participants on the MCX-SX trading platform have to participate only through trading members of the Exchange.

 MCX-SX stands in as the counterparty for each transaction.

All contracts that remain open at expiry are settled in Indian rupees in cash at the reference rate specified by RBI.

Square off.

METAL Aluminium, Copper, Lead, Nickel, Steel Long (Bhavnagar), Steel Long (Govindgarh), Steel Flat, Tin, Zinc FIBER

BULLION Gold, Gold HNI, Gold M, i-gold, Silver, Silver HNI, Silver M,, Silver Micro ENERGY

Cotton L Staple, Cotton M Staple, Cotton S Staple, Cotton Yarn, Kapas, Jute

Brent Crude Oil, Crude Oil, Furnace Oil, Natural Gas, M. E. Sour Crude Oil, ATF, Electricity(Now delisted), Carbon Credit

SPICES Cardamom, Jeera, Pepper, Red Chilli, Turmeric, Cumin Seed, Coriander PULSES Chana, Masur, Yellow Peas, Tur, Urad

PLANTATIONS Arecanut, Cashew Kernel, Coffee (Robusta), Rubber PETROCHEMICALS HDPE, Polypropylene(PP), PVC OIL & OIL SEEDS

Castor Oil, Castor Seeds, Coconut Cake, Coconut Oil, Cotton Seed, Crude Palm Oil, Groundnut Oil, Kapasia Khalli, Mustard Oil, Mustard Seed (Jaipur), Mustard Seed (Sirsa), RBD Palmolein, Refined Soy Oil, Refined Sunflower Oil, Rice Bran DOC, Rice Bran Refined Oil, Sesame Seed, Soymeal, Soy Bean, Soy Seeds

CEREALS

OTHERS Guargum, Guar Seed, Gurchaku, Mentha Oil, Potato (Agra), Potato (Tarkeshwar)

Maize, Barley, Rice, Sharbati Rice, Basmati Rice, Wheat

NCDEX
National Commodity & Derivatives Exchange Limited (NCDEX) Mr. R. Ramaseshan, Managing Director and CEO

December 15, 2003.

It offers futures trading in both agriculture and non-agriculture commodities.

 The Exchange has eight shareholders:

Risk management (CRISIL) Rural bank network (Canara Bank in the south and PNB in the north) Technology (ICICI Bank), agriculture (NABARD);

 On-line trading technology and derivative trading (NSE).

Market reach (IFFCO which has the largest number of farm cooperatives);

And expertise in institution building (LIC).

Normal Session

Agri and Coal

Monday to Friday Saturday

10:00A.M TO 05:00P.M 10:00A.M TO 02:00P.M 10:00A.M TO 11:55P.M Not Allowed

Normal Session

Normal Session

Non-Agri

Monday to Friday Not Allowed

Intra day square off Off line order Timing

Not Allowed Not Allowed

Not Allowed

Not Allowed

Advantages
Can buy (go long) or sell (go short) commodity futures contracts.

Can trade with a small amount of capital.

Volatility in some markets offers potential for quick profits.

Disadvantages
Principal is not guaranteed.

High risk due to leverage.

High price volatility could lead to margin calls.