NSE IFSC completes physical settlement of US stocks

New Delhi: NSE International Exchange (NSE IFSC) on Tuesday announced the first physical settlement of US stocks in the form of unsponsored depository receipts at IFSC in GIFT City. This is the first time when trading, settlement as well as demat holding related to an investment in US Stocks has been facilitated in GIFT IFSC through the international depository, making the entire process seamless for the Indian retail investors and within the comfort of the regulated environment, the bourse said in a statement.

The exchange launched trading in unsponsored depository receipts — NSE IFSC Receipts — on US stocks under IFSCA’s (International Financial Services Centres Authority) regulatory sandbox framework on March 3.

The product offering was a first of its kind initiative where Indian retail investors could trade in global stocks using the Liberalised Remittance Scheme (LRS) route. To start with, NSE IFSC commenced trading in major US stocks like Apple, Alphabet, Amazon, Microsoft, Meta Platforms, Tesla to be settled on a rolling T+3 day basis through its Clearing Corporation Ltd (NICCL).

“NSE IFSC and NICCL are happy to announce that the first physical settlement of NSE IFSC Receipts has been successfully completed on March 8, 2022. Settlement was completed flawlessly in all symbols which had been launched for trading,” the exchange noted.

NSE IFSC is a wholly-owned subsidiary of the National Stock Exchange (NSE) and trading at NSE IFSC was launched in June 2017.