The Reserve Bank of India offered a dedicated window for bond houses, known as primary dealers (PDs), through which they can exchange illiquid securities acquired through the Retail Direct platform with liquid papers.
The move should encourage them to participate in the first ever platform for individuals, who are willing to invest in sovereign bonds directly without mutual fund plans. This in turn, will help in the market making as primary dealers are billed as key players to support retail investments.
“A special Switch window will be opened for PDs every month, wherein PDs may switch the illiquid/semi-liquid securities acquired through RFQ (Request for Quotes) segment from RDG (Retail Direct Gilt) account holders with liquid securities from RBI at FBIL/market prices,” the central bank said in a notification.
PDs, who help sell government bonds in the primary market can include those successful trades in the annual targets for which they earn some fees.
“All successful trades under the Retail Direct scheme will be reckoned towards fulfilling the annual target for turnover with mid-segment and retail investors prescribed to each PD respectively,” RBI said.
The central bank also asked PDs to submit periodical reports on successful trades executed under Retail Direct.
The Reserve
offered a dedicated window for bond houses, known as primary dealers (PDs), through which they can exchange illiquid securities acquired through the Retail Direct platform with liquid papers.
The move should encourage them to participate in the first ever platform for individuals, who are willing to invest in sovereign bonds directly without mutual fund plans. This in turn, will help in the market making as primary dealers are billed as key players to support retail investments.
“A special Switch window will be opened for PDs every month, wherein PDs may switch the illiquid/semi-liquid securities acquired through RFQ (Request for Quotes) segment from RDG (Retail Direct Gilt) account holders with liquid securities from RBI at FBIL/market prices,” the central bank said in a notification.
PDs, who help sell government bonds in the primary market can include those successful trades in the annual targets for which they earn some fees.
“All successful trades under the Retail Direct scheme will be reckoned towards fulfilling the annual target for turnover with mid-segment and retail investors prescribed to each PD respectively,” RBI said.
The central bank also asked PDs to submit periodical reports on successful trades executed under Retail Direct.
(Catch all the Business News, Breaking News Events and Latest News Updates on The Economic Times.)
Download The Economic Times News App to get Daily Market Updates & Live Business News.
Note: This article have been indexed to our site. We do not claim legitimacy, ownership or copyright of any of the content above. To see the article at original source Click Here
POCKET AIR Car Tire Inflator Portable Air Compressor by Bullseye Pro, Rechargeable 4000MAH Portable Tire Inflator for Car Air Pump Portable with LED Pressure Gauge, Lightweight, As Seen on TV Products
$79.99 (as of December 15, 2024 19:03 GMT +00:00 - More infoProduct prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on [relevant Amazon Site(s), as applicable] at the time of purchase will apply to the purchase of this product.)
Tire Inflator Portable Air Compressor, 150PSI Portable Air Pump for Car Tires, Electric Bike Tire Pump with Digital Pressure Gauge, 2X Fast Cordless Tire Inflator for Car Bike Motorcycle Ball, Black
$39.99 (as of December 15, 2024 19:03 GMT +00:00 - More infoProduct prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on [relevant Amazon Site(s), as applicable] at the time of purchase will apply to the purchase of this product.)
Carhartt Men's Knit Cuffed Beanie
$19.99 (as of December 15, 2024 19:10 GMT +00:00 - More infoProduct prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on [relevant Amazon Site(s), as applicable] at the time of purchase will apply to the purchase of this product.)
Apple AirTag 4 Pack
$72.26 (as of December 15, 2024 19:32 GMT +00:00 - More infoProduct prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on [relevant Amazon Site(s), as applicable] at the time of purchase will apply to the purchase of this product.)
