Partner Channels: Bill Pay | Health | IT Education | Jobs | Technology | Travel
July 7, 2001
|
|
|
|
|
|
||
|
Channels: Astrology | Broadband | Contests | E-cards | Money | Movies | Romance | Search | Wedding | Women Partner Channels: Bill Pay | Health | IT Education | Jobs | Technology | Travel |
||
|
|
||
|
Home >
Money > Business Headlines > Report July 7, 2001 |
Feedback
|
|
|
UTI may seek Sebi nod to hike number of units sold physicallyP Vaidyanathan Iyer Efforts are on to increase the liquidity in the US-64 scheme. While UTI is likely to approach the Securities and Exchange Board of India to seek a hike in the number of US-64 units that can be sold in the physical form in the stock exchanges, Delhi Stock Exchange on Friday opened the odd-lot window for buying and selling physical US-64 units. US-64 falls under the Sebi list of scrips, which are to be compulsorily traded in the dematerialised form. Up to 500 units can, however, be sold or bought through the odd-lot window even in the physical mode. According to sources, since most of the individual investors hold US-64 units in the physical form, UTI was looking at the option of allowing them to buy or sell the units through the odd-lot window by raising the ceiling. This would be done in consultation with Sebi and the finance ministry, they said. Besides the National Stock Exchange, where US-64 is traded in the wholesale debt market, it is also listed on the Delhi Stock Exchange, the Bangalore Stock Exchange, the OTCEI and the Ahmedabad Stock Exchange. The Delhi Stock Exchange on Friday started trading in US-64 units in the debt segment under the demat mode and also opened the odd-lot window which allowed investors to buy or sell a maximum of 500 US-64 units. Sources said there was demand for US-64 units even at Rs 10 per unit. Top DSE officials told Business Standard that the stock exchange had voluntarily taken this initiative to give relief to small investors who did not have a demat account and possessed only physical units. Taking a cue from DSE, other stock exchanges like ASE, BgSE and OTCEI are also likely to open the odd-lot window. UTI's announcement to suspend the sale and repurchase of US-64 units had left the small investors stranded with dud units for six months. The opening of the odd-lot window by stock exchanges will, however, benefit only the first owners of the US-64 units because the subsequent buyers of units would not be able to sell them through this mode. The opening of the odd-lot window and increasing the limit could be seen as the first step towards protecting the interests of the small investors. In a recent meeting with the finance ministry officials, the UTI top brass had said that all the options for safeguarding small investors' interests would be considered. An executive director had said that the suspension could be lifted with new terms attached to the sale and repurchase of units. Powered by YOU MAY ALSO WANT TO READ:
|
||||
