Leading commodity bourse MCX on Thursday announced that Axis Securities – a subsidiary of Axis Bank – has become the first bank-sponsored broking entity to take membership on its platform.
Last year, the Reserve Bank of India had opened the way for large banks to enter commodity broking services, through subsidiaries.
In a statement, MCX managing director and CEO Mrugank Paranjape said, “With [Axis Securities] them on board, we expect other such entities to be soon joining us.”
Through the massive distribution network and reach of Axis, the exchange platform stands extended to a large section of individuals, MSME and SMEs across the country, he said.
“This would also go a long way in bringing the larger physical market in commodities to the commodity derivatives market,” Paranjape noted.
Axis Securities managing director and CEO Arun Thukral said, “We look forward to support commodity market participants with the same enthusiasm and offer them the best in class products and services in bullion, metals, energy and agri commodities across the country.”
The membership to Axis Securities was granted in first week of December 2017 and since then both are engaged in planning the education and training calendar to enable smooth roll out of services at Axis Securities, MCX added.