anmi

MUMBAI, DECEMBER 2021,

VOLUME: 4, ISSUE: 21

PRICE : ₹50

Forthcoming Event

CONTENT

anmi

VOLUME : 4 ISSUE : 21

07

Editorial

MUMBAI, DECEMBER 2021,

08

Stocktech 2021

11

Asian Securities Forum AGM ‘21

12

World Investors Week 2021

16

ANMI President’s Regional Visit - Jaipur & Kanpur

30

Article 1: Trade Talk: The Future of Algo Trading

32

Article 2: A glance at Indian Economy amid Covid-19

PAGES 36, PRICE : Rs. 50/-

Mr. K K Maheswari

06

President’s Message The New Year ushers in good news for us. ANMI plans to hold the 12th International Convention 2022 on 12 t h February. With this we wish to “Celebrate the reach of Capital Market Reforms to propel the Growth Trajectory”.

24

ANMI Webinars

25

ANMI at Work

27

ANMI in Media

29

ANMI Submissions

30

MXC iCOMDEX

32

COMPLIANCE CALENDAR

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ANMI Journal = December 2021

1

12th INTERNATIONAL CONVENTION 2022

FORTH COMING EVENT OF 2022 @ANMIOcial

@OcialAnmi

@ANMI

@digitalanmi

anmi

PRESIDENT, ALTERNATE PRESIDENT PRESIDENT, ALTERNATE PRESIDENT

Mr. K. K. Maheshwari

President [email protected]

Mr. Kamlesh. V. Shah

Alternate President [email protected]

NATIONAL COUNCIL MEMBERS

Mr. Anil Maneklal Shah

[email protected]

Mr. Kamlesh Shroff

[email protected]

Mr. Chandra Prakash Agarwala president [email protected]

Mr. K. Suresh

[email protected] ANMI Journal = December 2021

Mr. Hemant Kakkar

[email protected]

Mr. Nirav Gandhi

nirav.gandhi@jm.com

3

NATIONAL COUNCIL MEMBERS anmi

Mr. Pawan Kr. Bagri [email protected]

Mr. Sanjay Agarwal

[email protected]

Mr. Rajesh Baheti [email protected]

Mr. Vijay Mehta

[email protected]

Mr. Rajiv Gupta rajiv@rbcn.com

Mr.Vijay Singhania

vijay.singhania@vnsn.com

CHIEF EXECUTIVE OFFICER

ANMI pledges to work together with all member’s participating to create the great organisation that it is. This unied effort lays the platform for a strong footing for the future Dr. V. Raghavendra Prasad Mobile: 9167690775 [email protected]

4 ANMI Journal = December 2021

REGIONAL CHAIRMEN anmi

WIRC Mr Mahesh Desai

SIRC (APT) Mr. Kota Srinivasa Rao

Mobile: + 91-93241 18608 Email: [email protected]

Mobile: +91-98483 83796 Email: [email protected]

NIRC Mr. G P Aggarwal

SIRC (TKK ) Mr. S. K. Hozefa

Mobile: + 91-98100 62222 Email: [email protected]

Mobile: +91-99620 17071 Email: [email protected]

EIRC Mr. Navin Agarwal Mobile: + 91-98300 75705 Email: [email protected]

NATIONAL SECRETARIAT Association of National Exchanges Members of India Ofce No.403 Swaroop Centre, Opp. Mistry Complex, Near Om Nagar Circle, J.B. Nagar, Andheri East, Mumbai-400 099. Ms. Pooja Agarwal Mr. Stephen Pillai Tel.: 022-4016 1819 Mobile: +91-84339 32450 Email:[email protected]; [email protected] ANMI - WIRC 403 Swaroop Centre, Opp. Mistry Complex, Near Om Nagar Circle, J.B. Nagar, Andheri East, Mumbai-400 099. Tel : 022 4016 1819. Ms. Sheetal Shah Tel.: 022 40161819 Mobile: 892894 8292 Email: [email protected]

ANMI- NIRC Ofce: 612, New Delhi House 27, Bara Khamba Road, New Delhi - 110 001 Mr. Arun Midha (Secretary) Tel: 011-4351 5822 / 011-2371 5131 Mobile: +91 88603 24506. Email: [email protected]

ANMI-SIRC TKK Mr. Email: [email protected] India Cements Investment Services Ltd. Dhun Building, 3rd Floor, No. 827 Anna Salai, Chennai - 600 002

ANMI - EIRC Ofce: Saha Court, Suite No. 28, 5th Floor 8 Ganesh Chandra Avenue, Kolkata - 700 013

ANMI JOURNAL COMMITTEE Mr. Anil M. Shah Chairman Email: [email protected]

Mr. Rajesh Kr. Chaubey Tel: +91 33 4604 1772 Mobile: +91-91238 86446. Email: [email protected]

Mr. Basav Bhattacharya Consulting Editor Email: [email protected]

ANMI - SIRC (APT) Mr. Kota Srinivasa Rao Tradewell Securities Ltd Flat No. 204, Anushka Trendz BN Reddy Colony, Road No. 14, Banjara Hills, Hyderabad-500 034.

5 ANMI Journal = December 2021

PRESIDENT’S MESSAGE anmi

So, governance will be the new order of the day.

Dear Friends,

A

t the onset let me

There are times when we need to return to what we were and

wish you all the

this in an organisation such as ANMI is of paramount

best for the year

importance. We are a member centric organisation that

2022. Let us wish that the new year

believes in the collective strength to walk the future path. For the

brings in the best of times and

past many years, we have collectively held hands to pass over

erases the difculties that we have

the difcult times. This was particularly evident during the

been facing in the past two years.

global pandemic, a time when we realised that despite a quick

Needless to say, it gives me immense pleasure to reach out to

shift to a new world regime our collective strength remained

you all through this column in the ANMI Journal and share

paramount.

views and thoughts. I also look forward to the useful

Keeping the above in mind we have begun to set programmes

suggestions that you all have made and have helped us all reach

for all regions and at the national level. Recently ANMI had

out to various authorities to resolve various issues. I request

reached out to the Sebi by meeting executive directors and

you all to continue sending us your valued suggestions to

heads of exchanges. We had carried detailed reports of these

improve in future.

events in the journal earlier.

The New Year ushers in good news for us. ANMI plans to hold

We had the opportunity to host Mr. Ajay Tyagi during the

the 12th International Convention 2022 on 12th February. With

national programme organised by Sebi at a spectacular

this we wish to “Celebrate the reach of Capital Market Reforms

programme at Pragati Maidan. ANMI as an organisation had an

to propel the Growth Trajectory”. I request you all to book dates

active participation at the event which lasted for a fortnight. We

and be present at this glorious occasion.

are extremely grateful to Mr. Ajay Tyagi to nd time to visit our

During the past two years, ever since the pandemic set in, we

stall and address members present. A detailed representation

have realised that capital market reforms will govern the way

of the programme has been published in the November issue

forward in the capital markets. This is the new normal and the

which all of you have got at hand.

way of life henceforth.

During December we have organised yet another prestige

During the past two years there has been a dynamic change in our way of life. As we all move towards becoming a digital

programme - Stock Tech – that highlights technologies that will be our part and parcel in the very near future. A pictorial representation is being made in this month's journal for all

society where physical presence is not needed, the entire

readers.

nancial market is undergoing a drastic change. Our work and

With best wishes in the New Year K K Maheshwari President

way of thought has become attuned to this changed world too.

6 ANMI Journal = December 2021

EDITORIAL MESSAGE anmi

Reforms To Growth

A

s we close yet

a n o t h e r

calendar year

our hopes and aspiration for a better tomorrow begins to be the prime subject of discussion. We all hope and wish to a smooth sail in fair winds always. But life is all in bumps and humps – discomforts and satisfaction of having passed a stretch of difcult days. The pandemic has been a great teacher, a hard master with a whip in hand. Apart for the global sorrows, it has taught us the basic rule to live without gigantic expectations of living without pain. Thus the past two years has been a period of restrain that has taught us to rethink the way we live and make the best during difcult times. It is for sure now and well entrenched in all our minds that natural calamities will be huge and humungous in size and we will grapple to nd a way out. It is only then we will learn to live out of them and sow seeds to a future. The capital market in India is large and vibrant and it is one of the main pillars on which the economy is held. One of the key takeaways during the difcult times in the recent past is that this huge market needs to be governed and conform to a transparent platform with rules and regulations well set in place. The return of condence in Indian economy has fuelled the fact that we will cross the US $ 100 trillion mark in terms of GDP and may cross France to be the 6th largest economy of the world in 2022. The recent report from

Centre for Economic and Business Research states that the centre of economic gravity will be shifting to Asia with China, Japan, India and Korea adding up to over $26 trillion in 2021. Thus it is expected that in the near future China's economy will overtake that of the US to be the top in 2030 while India with a GDP of over $6.8 trillion, will overtake Germany by 2031 to be the third largest economy of the world. So our economy will be bigger that what we are now and this throws up more oppor tunities than being a disadvantage. If this is achieved we will need to adhere to more rules and regulation in business to ensure easy of work. This will be the way of life in the immediate future. To propel this growth trajectory the support of the capital market is of paramount importance and very much the need of the hour. Reforms will be the driving path. Keeping this in mind ANMI has designed the 12th International Convention in February where nance experts will throw up the future way to follow. Details of the convention will be shared with all at the earliest. The journal this month carries details of the activity of ANMI in the past month. It also highlights the achievements in the recent times as fallout of a well concerted effort taken by all to reach out to the exchange heads and policy makers. We have included in this journal a pictorial summery of the Stock Tech event – an annual feature that showcases technologies in place and those to come in the near future. Wish you all a very happy new year ahead. Be safe and be secure. Basav Bhattacharya Consulting Editor

7 ANMI Journal = December 2021

STOCKTECH 2021

Glimpses of STOCKTECH 2021

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(L-R) Arjun P. Shah, WIRC EC member, Mahesh Desai Chairman WIRC, ANMI, Padmaja Chunduru, MD & CEO, NSDL, Mangal Prabhat Lodha, MLA State of Maharashtra, Kamlesh Shroff, Director, National Council, ANMI, G,P. Garg, Executive Director, SEBI, Ashish Kumar Chauhan, MD & CEO, BSE, Nehal Vora, MD & CEO, CDSL, K. K. Maheshwari President, ANMI, Kamlesh Shah, Alternate President, ANMI

Kamlesh Shroff Director, ANMI

Kamlesh Shroff, Convener Stocktech 2021 &Director, National Council, ANMI

Mahesh Desai Chairman WIRC, ANMI

8 ANMI Journal = December 2021

ANMI WIRC’S STOCKTECH 2021

Glimpses of STOCKTECH 2021

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Ashish Kumar Chauhan, MD & CEO, BSE

G,P. Garg, Executive Director, SEBI

Padmaja Chunduru, MD & CEO, NSDL

Mangal Prabhat Lodha, MLA State of Maharashtra

Nehal Vora, MD & CEO, CDSL

Kamlesh Shroff, Convener Stocktech 2021 & Director, National Council, ANMI and Mahesh Desai, Chairman WIRC, ANMI

Kamlesh Shah, Alternate, President, ANMI

K. K. Maheshwari, President, ANMI

10 ANMI Journal = December 2021

ASF ANNUAL GENERAL MEETING anmi

Asian Securities Forum, AGM 8th December, 2021 Panel Speaker on behalf of ANMI Mr. Kamlesh Shroff, Director, National Council

by Mr. Kamlesh Shroff Director, ANMI

11 ANMI Journal = December 2021

WORLD INVESTORS WEEK 2021 anmi

ANMI Celebrates - WORLD INVESTORS WEEK, 2021 under the aegis of IOSCO - A SEBI Initiative November 22 - 28, 2021 HIGHLIGHTS

12 ANMI Journal = December 2021

WORLD INVESTORS WEEK 2021 anmi

ANMI Celebrates - WORLD INVESTORS WEEK, 2021 under the aegis of IOSCO - A SEBI Initiative November 22 - 28, 2021 HIGHLIGHTS

13 ANMI Journal = December 2021

WORLD INVESTORS WEEK 2021 anmi

ANMI Celebrates - WORLD INVESTORS WEEK, 2021 under the aegis of IOSCO - A SEBI Initiative November 22 - 28, 2021 HIGHLIGHTS

14 ANMI Journal = December 2021

WORLD INVESTORS WEEK 2021 anmi

ANMI Celebrates - WORLD INVESTOR WEEK, 2021 under the aegis of IOSCO - A SEBI Initiative November 22 - 28, 2021 The impressions created in youtube video of the webinar and how they led to watch time since published. ❖ Total 8430 people viewed for 113,00,49 watch time minutes ❖ 9 speakers participated in the weeklong events ❖ Day 2 Webinar on “Cruising Through The Financial Market”, garnered more visibility with 60,000 + mins / 3,000 + views followed by Day 1 & Day 3 ❖ Across countries such as India, Indonesia, Nigeria, Philippines, Pakistan, Thailand, Turkey, united States , South Africa, Vietnam showed their interest in webinar

S. No.

Day

1

Day 1

2

Day 2

3

Day 3

4

5

Date Wednesday, 24th November Thursday, 25th November Friday, 26th November

Topic

Impressions

“Women: Country's New Fate"

4.3K

"Cruising Through The Financial Market”

10.0K

"Investors Charter Rights & Duties"

6.7K

Day 4

Saturday, 27th November

“Financial Planning for Gullible Investors, Risk Management Practice for investors & Elocution Competition”

Day 5

Sunday, 28th November

Inter Collegiate - Quiz Competition, Theme: Investor Awareness

3.32K

2.15k

15 ANMI Journal = December 2021

ANMI PRESIDENT’S VISIT

ANMI President Mr. K. K. Maheshwari and Mr. Hemant Kakkar, Director, ANMI visit to Kanpur

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(L-R) K . K. Maheshwari President, ANMI, Hemant Kakkar, Director, ANMI

with Narendra Kr. Gupta (Extreme Left) Director, Amit Agarwal (Extreme Right) Directors of SPFL Securities Ltd.

with Sanjeev Agarwal (center), Director, Chuknoo Securities Ltd.

with Kishore Vakil, Chairman, Rudra Shares & Stock Brokers Ltd.

with Arpit Agarwal (Extreme Left), Abhishek Agarwal (Extreme Right) Directors of Achintya Securities Pvt. Ltd.

with Rajeev and Navin Parwani, Director, Unlock Wealth Securities Ltd.

Our special Thanks to Mr. Arpit Agarwal for all his hospitality and assistance making the visit convenient and succesful ANMI Journal = December 2021

16

ANMI PRESIDENT’S VISIT

ANMI President Mr. K. K. Maheshwari and Mr. Hemant Kakkar, Director, ANMI visit to Jaipur

(L-R) Hemant Kakkar, Director ANMI, K . K. Maheshwari President, ANMI

with Sandeep Sharma, Director, Ridhi Share Brokers Pvt. Ltd.

with Ravikant Kanoongo, Shashikant Kanoongo, Yuvraj Kanoongo Directors of Hindustan Tradecom Pvt. Ltd.

(L-R) with Sandeep Kumar Jain, Nishant Jain, Directors of Tradeswift Broking Pvt. Ltd.

with Ramesh Kumar Mantri (Center), Director, Maverick Share Brokers Ltd.

with Rajendra Modi, Managing Director, Rajendra Modi Share Brokers Pvt. Ltd.

anmi

with Gyandeep Khemka (center), Director, Gyandeep Stocks Pvt. Ltd.

with Ravi Singhal(Center), Director, GCL Securities Pvt. Ltd.

with Ajay Gangwal (Center), Managing Director, Thar Share Brokers Pvt. Ltd.

Our special Thanks to Mr. Sandeep Sharma and Mr. Gyandeep Khemka for all their hospitality and assistance making the visit convenient and succesful 17 ANMI Journal = December 2021

ARTICLE Mr. Sandeep Parekh

anmi

Managing Partner, Finsec Law Advisors

Trade Talk: The future of algo trading

S

EBI recently proposed a framework for algorithmic (algo) trading by retail investors, seeking to address the rise in the use of Application Programming Interface (API) access allowing automation of trades. Algo trading refers to orders generated using automated execution logic. Simply put, algo trading systems monitor stock prices in real time and upon the occurrence of predened criteria, initiate an order without any manual intervention. API access, or tech jargon for a pipe which connects one system to another, is used to establish a connection between the trader and the broker in order to obtain real-time quotes and pricing data; it also enables traders to use a thirdparty application to place orders in the market which may or may not be based on an algorithm. Currently, algos submitted by brokers have to be approved by the stock exchange, but those which come via the API don't go through scrutiny, mainly because what comes through is only the order and not the algo itself. A simple example of an algo trade would be a formula entered that on Sensex falling by 2%, a buy-order be placed of one unit of each of the top 500 companies automatically. This can be done via simple programming on an excel sheet and automated to get executed through the API pipe to the broker, almost with no human intervention. Thus the 2% trigger would travel in one direction and the 500 orders in the other, in the API pipe. While orders emanating from an API can be identied as such, it is not possible for brokers to differentiate between algo and non-algo orders. Due to the inability to identify algo trading by retail

investors through API access, the requirement of approval of algos by stock exchanges prior to their deployment is sidestepped, resulting in the rise of 'unregulated and unapproved' algos, which may be used to lure retail investors by unregistered and unregulated entities by falsely guaranteeing higher returns. What happens at the backend of such trades is not known to the broker or the exchange. Further, no grievance redressal mechanisms exist in relation to unregistered and unapproved algos, which may also be used to orchestrate systematic market manipulations. The proposed frameworkSEBI has proposed that all orders emanating from API access provided by brokers to retail investors should be treated as algo orders, which have to be tagged with a unique ID and certied by the prescribed authorities. Further, all such algos, and modications thereto, must be approved by the stock exchange prior to their deployment or modication. Additionally, all algos, irrespective of the developer, would be required to run on the brokers' servers so that the control of client orders, order conrmations, and other related information lies with the broker, who will need to deploy adequate checks to ensure that the algo performs in a controlled manner. Brokers may provide in-house algo strategies or outsource the services of third par ty algo providers/vendors through a formal agreement. Further, the responsibility for all algo trades emanating from an API would fall on the concerned broker, who would also be responsible for grievance redressal in relation to the concerned algo trades. With these liabilities, there is little doubt that a broker would not be comfortable leaving pipes open which allow trades, which cannot practically be supervised or controlled. Further, SEBI is presently unsure of the nature of services offered by an algo developer as they may create and provide an algo strategy on the basis of 20

ANMI Journal = December 2021

ARTICLE Trade Talk: The future of algo trading

anmi

contd...

research and analysis done by them. Data obtained in this regard over time would assist SEBI formulate an appropriate framework. The proposed framework has been oated with a view to safeguard investors. SEBI is also mandated to protect the integrity of the securities market as unregulated algo trading can be used as a modus operandi to systematically manipulate the stock market and also lead to ash crashes, etc. These kinds of events have the immediate effect of erosion of investor condence and cause nearirreparable harm to the securities market. There could also be rogue or badly designed algos, or even properly designed algos which have many investors, thus creating a spike in prices. Concerns with the proposals although the proposed framework is well-intended, there are some concerns with SEBI's approach. First, classifying all API-based trades as algo trades is unfair. The API ecosystem is a whole market in itself and SEBI's move will retard connectivity between brokers and other sophisticated players connecting to them for non-algo purposes. Much of ntech today is connected to nancial players in a multiplicity of ways through API pipes. It will also be a departure from SEBI's mission to encourage innovative and digital solutions in securities market, as per their recently published investor charter and regulatory sandbox. With more and more people gaining prociency in computer programming and the boom of ntech in India as well as around the world, a revisit of the proposed framework by the regulator is warranted. Secondly, the proposed framework imposes a heavy onus on the brokers. For instance, brokers will have to ensure that persons using third party vendor developed algos or indigenously developed algos are pre-approved by the stock exchange. In addition to the costs, the cumbersome approval process will have to be followed each time the algo strategy is changed on the basis of changing investment strategies, which is onerous on the trader, developer, broker and the stock exchange.

However, it may be noted that in the US as well as the UK, the onus to keep a check on algo trading lies with the broker. Concerns regarding condentiality of algo strategies, which are akin to trade secrets, in view of the disclosure and approval norms in relation to algo strategies, are also not unfounded.

Although the regulatory framework proposed by SEBI is well-intended, there are some concerns with the approach The way forward Instead of potentially hampering growth in the API ecosystem and putting an undue onus on the brokers, SEBI must, in consultation with the relevant market participants, devise a mechanism which does not hamper technological advances and at the same time, does not compromise investor protection and integrity of the securities market. Presently, algo strategy developers are not classied as investment advisers under the SEBI (Investment Adviser) Regulations, 2013. The regulator admits that there isn't sufcient clarity as to whether the services provided by third party algo developers fall under the scope of investment advise or not. While regulation and the imposition of additional obligations on various market participants is inevitable, the issues brought to light in view of the proposed framework indicate that there needs to be a more comprehensive review of the applicable laws instead of a stop-gap measure.

(First published in Financial Express- 23 Dec 2021) 21

ANMI Journal = December 2021

ARTICLE Mr. Ravi Singh

anmi

Vice President & Head of Research Share India Securities Ltd

A glance at Indian Economy amid Covid-19

A

s p er t h e lat e st estimates, it is expected that Indian GDP is projected to grow 9.4% in scal year (FY) 2021-22 before reverting to 8.1% in FY 2022-23 and 5.5 per cent in FY 2023-24. Since the second wave of Covid-19 in May, the economic activities worldwide is gaining momentum. However, the normalisation momentum came to a halt in April, 2021 when the Delta variant caused a rampant afictions. The whole Intensive care infrastructure was under acute pressure and several measures were taken to conne the widespread. The already started vaccine drive in January, 2021 was not enough to contain the disease casualties as by that time only a minute portion of the population was vaccinated and that also by the rst jab only. Due to this shock the vaccine drive was accelerated covering 30 million healthcare and front-line workers and by end-September, more than half of the eligible population had been given at least one jab and at mid-November, more than one Indian out of four was fully vaccinated. The economic shock has been weaker than during the 2020 wave. Since the summer of 2021, growth has rebounded, pulled by exports, consumer demand and, more importantly, a very strong base effect. Most key high-frequency indicators, including sales of two-wheelers and tractors, are rising gradually and mobility indices sharply improved during the Diwali festive season and remain well-oriented. Consumer price ination stood at 4.5% in October, a signicant decline from the October 2020 reading of 7.6%. The recent moderation can be explained by base effects, an excellent monsoon season, a resumption of agriculture supply chains that lowered food prices (which account for 39% of the CPI basket) and administrative steps (such as lower import duties

on edible oils). Both merchandise exports and imports have expanded forcefully, boosted by oil trade. Easier conditions in capital markets have beneted large corporates and young start-ups, with a record 51 initial public offers (IPOs) on the two main stock exchanges between January and November 2021. Foreign exchange reserves have increased due to strong foreign direct and portfolio investment ows. In 2021, the rupee has experienced a smaller depreciation against the US dollar than most emerging Asian peers. It was the covid pandemic, when most of the citizens were left with no jobs, salary cuts, uncertain economic future, nancial paralysis, business losses due to lockdowns and restrictions, started looking ways to support their nancial needs. This gave a rise to a technology penetration also when a whole new world of online access where adopted by the Indians. This further led to improved awareness towards various investment options and market news. The potential investors of 2 to 3 tier cities who were earlier ignorant about the por tfolio diversication are now empowered with online tools and real time technologies. Despite the economic recovery, GDP is still not reached the pre-crisis levels. Several scal measures taken in response to the pandemic to suppor t the informal workers, migrants and unorganised groups are continued further. The deferred payments of taxes due in 2020 are recovered as the economic activity recovered, the tax revenues have increased. The monetary policy by RBI has been supportive with easing of rates and liquidity boost, although the bank credit growth remain subdued. However, the way ination is increasing due to rising commodity prices and supply disruptions, such as coal and chip shortages, the central bank may be forced to tighten the monetary policy thus raising the borrowing costs and draining the market liquidity. Headline ination is projected to remain below the upper tolerance limit of the exible ination targeting approach, which it exceeded in FY 2021. 22

ANMI Journal = December 2021

ARTICLE A glance at Indian Economy amid Covid-19

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contd...

With policy rates projected to rise in 2022, the exit of non-viable rms and effective non-performing loans (NPLs) resolution should be made easier. All those structural reforms, including labour, insurance and por ts liberalisation, advanced despite the pandemic. The Reserve Bank of India (RBI) says in its latest nancial stability report that the economy has gained momentum and remained resilient since the second quarter of the current scal year, but the Omicron variant of coronavirus remains a major challenge along with rising ination pressures. Stronger and sustainable recovery hinges on the revival of private investment and shoring up private consumption, which remains below their prepandemic levels. Activity in India's dominant services sector expanded for fourth consecutive month, while the manufacturing purchasing index climbed to 57.6 -- the best showing since January, according to IHS Market data. Therefore, striking

the critical balance between revival of consumption demand and controlling ination will be important. Simultaneous consumption-led growth alongside increase in productive capacity will be crucial to the achievement of the envisaged economic recovery. Following from the Union Budget 2021, there will also be high expectations from the budget in 2022 in terms of enhancing productive capacity and enabling greater capacity utilisation to set the stage for the pandemic-induced economic recovery processes. Finally, as we end the year 2021 with new fears of the Omicron variant, the year 2022 will be one of the most crucial years for the Indian economy to establish if it has learnt some lessons (in the last two years) in being pandemic-smart with respect to the restrictions, lockdowns, and market uncertainties, or will the situation worsen further as it combat to deal with an impending third spurt.

Forth Coming Event of 2022

23 ANMI Journal = December 2021

ANMI WEBINARS anmi

Webinar - 68 Topic: "Surveillance Obligations of Dps” Date & Time : Monday, 6th December 2021, at 4:00pm - 5:00pm Introductory Remarks : Mr. Mahesh Desai, Chairman - WIRC, ANMI Moderator : Mr. Avinash Shere, Sr. Manager - CDSL Panelist : Mr.Umesh Kambli , AVP - CDSL

Webinar - 68 Topic: “Clarications on segregation and monitoring of collateral at client level-Penalties provisions effective from Dec 16th 2021" Date & Time : Monday, 6th December 2021, at 4:00pm 5:00pm Moderator : Mr. Nirav Gandhi, Director - ANMI Panelist : Ms. Himabindu Vakkalanka, Vice President - NSE Clearing Ms. Divya Potdar, Manager - NSE Clearing 24 ANMI Journal = December 2021

ANMI AT WORK WIRC From 01.04.2021.

anmi

Purpose

Date 30.04.2021 EC-Meeting held on Zoom Webinar

14.05.2021 ANMI organized 43rd Knowledge Series in Association with Trackwizz on Topic: "Solving Mobile & Email Collection using CKYC" & "Obligation towards transaction alerts" held on Zoom Webinar 02.05.2021 EC-Meeting held on Zoom Webinar 02.06.2021 Anmi Knowledge Series - 44Th Webinar In Association With MSCCL held on Zoom Webinar 18.06.2021 Anmi 45Th Webinar: Q&A session on provisions of SEBI circular on “Settlement of Running Account of Client’s Funds lying with Trading Member (TM) 22.06.2021 Anmi organized 46Th Webinar: Demo on BOW Trading Platform & RMS Zoom Webinar 02.07.2021 Executive Committee meeting 30.0.2021

Executive Committee meeting

09.08.2021 Webinar 52 WR with NCDEX IPF Trust 18.08.2021 Webinar 54 Knowledge Series in Association with Secmark Consultancy 27.08.2021 Executive Committee meeting 31.08.2021 Meeting Organised between back office software vendors, ICCL & NCL 09.09.2021 Webinar 56 ANMI Knowledge Series on ICHIMOKU 14.09.2021 Webinar 57 ANMI Knowledge Series Recent Developments In Commodities Markets 23.09.2021 Webinar 58 ANMI Knowledge Series Training in Cyber Security: A SEBI Mandate 27.09.2021 Webinar 59 ANMI Knowledge Series A glance at New T+1 SETTLEMENT and reporting of client collaterals 08.10.2021 Webinar 60 ANMI Knowledge Series 13.10.2021 Webinar 61 ANMI Knowledge Series 14.11.2021 Bharat ka Share bazaar event from SEBI was attended by our Chairman Mr. Mahesh Desai 26.11.2021 Webinar in association with NSE on “Clarifications on segregation and monitoring of collateral at client level- Penalties provisions effective from Dec16th 2021" 06.12.2021 WIRC Webinar on Clarifications on segregation and monitoring of collateral at client level Penalties provisions effective from Dec 16th 2021 28.12.2021 WIRC EC Meeting was conducted ANMI Journal = December 2021

25

ANMI AT WORK anmi

NIRC From 01.04.2021. Purpose

Date

30.04.2021 ANMI-NR 1st Managing Committee Meeting held on Zoom Webinar. 16.07.2021 ANMI 1st Chairman's Meeting held on Zoom Webinar. 30.07.2021 ANMI-NR 2nd Managing Committee Meeting held on Zoom Webinar. 12.08.2021 Webinar Silver Jubilee Knowledge Series N0 53 - Bubble or Boom Art Of Investing 27.10.2021 ANMI NR Members' Diwali Milan at India Habitat Centre, New Delhi. 12.11.2021 Meeting of all ANMI Regional Secreteriats on Zoom to understand new Website. 14.11.2021 ANMI Participation in IITF at SEBI Pavillion--"Bharat Ka Share Bazaar" in Hall No. 12A to 27.11.2021 Pragati Maidan, New Delhi. 16.11.2021 ANMI Chapters in NR Jaipur visit by Shri K K Maheshwari President & Shri Hemant Kakkar Director 16.12.2021 ANMI Chapters in NR Kanpur visit by Shri K K Maheshwari President & Shri Hemant Kakkar Director 30.12.2021 Managing Committee Meeting on Zoom

EIRC From 01.04.2021. Purpose

Date

09.04.2021 Knowledgeable session with Kotak Mutual Fund (Webinar on Zoom) on "Outlook on Debt and Equity for FY 2021-2022 " 15.05.2021 An Executive Committee Meeting held on Zoom meeting app 05.06.2021 Knowledgeable session with Mr. Bharat D. Sarawgee,FCA, DISA(ICAI), Partner - BDS & Co. on Zoom Meeting App on " Cyber Security Training". 19.06.2021 Knowledgeable session with Finspot Technology Solution on Zoom Meeting App on " New Modern Cutting-Edge Trading Platformto Grow your Business". 21.07.2021 An Executive Committee Meeting held on Zoom meeting app 31.08.2021 Webinar on Awareness Programme On Recent Developments In Commodity Markets 09.09.2021 Executive committee meeting 20 ANMI Journal = December 2021

ANMI IN MEDIA anmi

ANMI Journal = December 2021

ANMI IN MEDIA anmi

28 ANMI Journal = December 2021

29 ANMI Journal = December 2021

DECEMBER, 2021

MCX ENRGDEX

5,850 5,700 5,550 5,400 5,250 5,100 1-Dec

8-Dec

15-Dec

22-Dec

29-Dec

MCX BULLDEX AND METLDEX 14,350

17,500

14,250

17,300 17,100

14,150

16,900 14,050

16,700

13,950

16,500

13,850

16,300

1-Dec

8-Dec

15-Dec

MCX BULLDEX (LHS)

22-Dec

29-Dec

MCX METLDEX (RHS)

MCX iCOMDEX Energy Index (ENRGDEX) MCX ENRGDEX rallied by more than 8% during December 2021. MCX Crude Oil prices were sharply higher by around 15% on optimism that the Omicron virus variant may not be as severe as feared, easing concerns over demand outlook. Prices also got support after US commercial crude inventories declined the most in the past 4-months. However, MCX Natural Gas plunged by around 20% on warmer-thanexpected winter forecasts in major US consuming centres. MCX iCOMDEX Bullion Index (BULLDEX) MCX BULLDEX ended higher by 0.6% by end of December. Bullion prices gained on safe-haven buying fuelled by global rise in Omicron Covid-19 variant infections, but most of the gains were offset tracking sharp rally in the Indian Rupee, which hit a one-month high. Border tensions between Russia and Ukraine also supported bullion prices. MCX iCOMDEX Base Metal Index (METLDEX) MCX METLDEX closed higher by 4.30% during December, on easing concerns about the Omicron coronavirus variant, upbeat U.S. economic data and ease in China's monetary policy. Better-than-expected data on China’s November factory activity, growing for the first time in three months, also supported metal prices. Rally in Chinese currency to 3-year highs raised hopes of pick-up in demand from world’s biggest metal consuming country.

MCX iCOMDEX Sectoral Indices- RETURNS AND VOLATILITY Period

MCX BULLDEX Avg. Daily Volatility 0.58%

Dec, 21

Index Movement (Close on Close) 0.61%

0.88%

Nov, 21

MCX METLDEX Avg. Daily Volatility 0.75%

-1.56%

MCX ENRGDEX

Index Movement (Close on Close) 4.30%

1.08%

Avg. Daily Volatility 2.00%

-2.45%

Index Movement (Close on Close) 8.20%

2.86%

-20.02%

MCX ENRGDEX and CONSTITUENTS - TREND OVER THE MONTH MCX ENRGDEX

Unit Points

Crude Oil

Rs/Barrel

Natural Gas

Rs/ mmBtu

Open

High

Low

Close

Prev. Close

Change

% Change

5,263

5,794

4,943

5,615

5,190

426

8.2%

4,982 342

5,775 351

4,706 266

5,625 277

4,896 347

729 -71

14.9% -20.3%

MCX BULLDEX and CONSTITUENTS- TREND OVER THE MONTH MCX BULLDEX Gold Silver

Unit Points Rs/10 Grams Rs/ Kg

Open

High

Low

Close

Prev. Close

Change

% Change

14,068 47,799 62,325

14,285 48,785 63,239

13,894 47,350 60,050

14,155 48,099 62,660

14,069 47,805 62,287

86 294 373

0.6% 0.6% 0.6%

MCX METLDEX and CONSTITUENTS - PRICE TREND OVER THE MONTH MCX METLDEX Aluminium

Unit Points Rs/ Kg

Copper

Rs/ Kg

Lead Nickel Zinc

Rs/ Kg Rs/ Kg Rs/ Kg

Open

High

Low

Close

P. Close

Change

% Change

16,664

17,450

16,482

17,340

16,626

714

4.3%

211.65

228.90

208.60

225.25

211.20

14.05

6.7%

730.70 185.00 1,548.00 271.50

761.45 196.20 1,583.10 292.00

717.30 183.10 1,516.40 265.55

748.90 186.55 1,569.60 287.95

725.30 184.95 1,541.20 270.50

23.60 1.60 28.40 17.45

3.3% 0.9% 1.8% 6.5%

TRADE STATISTICS OVER THE MONTH MCX BULLDEX METLDEX ENRGDEX

Avg Daily Turnover (Rs. Cr)

Avg Daily Volume (Lots)

132 140 27

Average Daily OI (Lots)

1,874 1,657 400

1,772 832 186

CORRELATION OF RETURNS: JAN’16 – DEC’21 MCX ENRGDEX with MCX Crude Oil 29.02%

S&P 500 NIFTY US Dollar Index Futures

18.03% -0.57%

MCX NG Nifty Oil and Gas

91.76% 30.23% 11.11%

CORRELATION OF RETURNS: JAN’16 – DEC’21 MCX BULLDEX with NIFTY -2.40% US Dollar Index Futures -32.03% Gold Futures Silver Futures

94.64% 88.75%

NIFTY NIFTY METAL

MCX METLDEX with Copper Futures 14.01% Lead Futures

US Dollar Index Futures Aluminium Futures

17.63% -15.96% 53.85%

Nickel Futures Zinc Futures

80.38% 61.84% 70.53% 85.92%

Disclaimer: The information provided here is for disseminating knowledge about the MCX iCOMDEX® indices and not intended as professional counsel or investment advice, and is not to be used as such. While MCX has made every effort to assure the accuracy, correctness and rel iability of the information contained herein, any affirmation of fact shall not create an express or implied warranty that it is correct. This information is made available on the condition that errors or omissions shall not be made the basis for any claims, demands or cause of action. MCX, or its employees, shall also not be liable for any damage or loss of any kind, howsoever caused as a result (direct or indirect) of the use of the information provided here. The purpose of the information carried here being creation of awareness about commodity indices, the reasons attributed to changes in prices/ index levels of commodities/ indices mentioned here have been taken from news media and trade sources on an as-is basis. MCX or its employees make no claim on the correctness of the news or of the purported linkage between the news and movement in prices/ index levels Please contact [email protected] for comments and queries. ©MCX 2022. All rights reserved

ANMI COMPLIANCE CALENDAR anmi

32 ANMI Journal = December 2021

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