BSE Ltd. will start charging a transaction fee on per trade basis from Monday, a move that is expected to attract a larger number of big deals.
Under the new system, it will charge Re 1 per trade for up to 5 lakh transactions in a month; 70 paise for 5-10 lakh; 60 paise for 10-20 lakh and 30 paise for over 40 lakh.
Earlier, the exchange charged a flat Rs 275 per crore on a gross turnover of Rs 1 crore.
Market experts said the move is part of BSE's effort to increase its trading volumes and attract more block and bulk deals.
Besides, BSE would levy a flat transaction charge of Rs 10 per crore of turnover on both active and passive trades done on its currency derivative segment.
Earlier, a Rs 10 per crore transaction fee was levied on only the active side of the trade transaction on currency future contracts. The transaction fee for currency options contracts also stood at Rs 10 per crore on active side of the transaction on premium value.
BSE had launched its currency derivatives platform in November 2013 and did not levy any transaction fees for trades in this segment for almost a year. Since December 2014 it began charging for currency derivatives.
It levied a Rs 2 per crore of turnover for two months from December 1, 2014 to January 31, 2015, and then increased to Rs 4 for the next two months. BSE further hiked the charge to Rs 6 from April 1, 2015 for two months followed by Rs 8 for next two months.
Since October 1, 2015, the exchange has been levying a transaction fee of Rs 10 on currency derivative trades.