BSE in licensing deal to launch ISE derivative products

The Bombay Stock Exchange has signed a licensing agreement with the US-based International Securities Exchange (ISE) to launch derivative products in India.

BSE will seek approval from capital market regulator Securities and Exchange Board of India for introducing derivative products for local investors based on ISE indices, to add to its futures and options product basket.

The agreement is part of an ongoing market development effort involving BSE and Deutsche Borse Group, which includes Eurex and ISE, the BSE said in a statement today.

"We are glad to have signed this agreement with the International Securities Exchange, which is part of our long-term strategic initiative to offer world-class investment products to investors in India," BSE managing director and chief executive Madhu Kannan said.

BSE has leading global exchanges Deutsche Borse and Singapore Exchange as strategic partners among its broad shareholder base.

ISE is a wholly-owned subsidiary of global derivatives exchange Eurex.