SEC Class Relief is granted to NSE IX, allowing US clients to trade equity index option contracts

According to a release, NSE International Exchange (NSE IX) has been granted class relief by the US Securities Exchange Commission (SEC), enabling US customers to trade equity Index option Contracts on the market. Through their interactions with authorized broker-dealers and US financial institutions, NSE IX members are able to familiarize themselves with stock indexes at NSE IX thanks to the class relief.

Additionally, subject to compliance with relevant regulations, this class relief enables qualified broker-dealers and sizable US-based financial institutions to trade on these index derivatives options contracts via NSE IX members, according to a statement released by the exchange on Friday. The International Financial Services Centre Authority (IFSCA) has approved NSE IX, an international multi-assets exchange that was established in GIFT City in June 2017.

It was the first international exchange in Gift City to get an exemption under section 30 from the Commodity Futures Trading Commission (CFTC) earlier in November 2020. NSE IX members may trade futures derivatives for US customers thanks to the CFTC exemption. Because of these exemptions, NSE IX members are able to immediately take money from US customers in order to trade futures and options contracts on the exchange. This is possible without the members having to register as futures commission merchants or SEC members with the CFTC or SEC, respectively.