GIFT Nifty is a new index derivative contract that has been launched on the NSE International Exchange (NSE IX) in GIFT City, Gujarat. It is a re-branded version of the SGX Nifty, which was previously the only offshore-traded Nifty contract. GIFT Nifty is traded in US dollars and has the same contract specifications as the SGX Nifty.
The markets for GIFT Nifty are open from 6:30 AM IST to 2:00 AM IST the following day. This is a significant extension of the trading hours for the SGX Nifty, which was only open from 4:00 AM IST to 1:00 PM IST. The extended trading hours for GIFT Nifty will allow investors from around the world to trade the contract and participate in the Indian market.
The contract specifications for GIFT Nifty are as follows:
- Contract size: 50 index points
- Trading lot: 1 contract
- Minimum price movement: 0.05 index points
- Trading margin: 5%
- Settlement type: Cash
GIFT Nifty can be traded by both Indian and foreign investors. Indian investors can trade GIFT Nifty through their respective brokers. Foreign investors can trade GIFT Nifty through their brokers in Singapore or through brokers in GIFT City who have received a license from the Securities and Exchange Board of India (SEBI).