SecMark takes privileged of offering diversified services to 7 stock / commoditiy Exchanges in some of the most diversified and challenging areas which require specialized knowledge in the areas of Business Modelling, Regulatory and Compliance, Technology and Marketing.
The clients include, MCX, MCX-SX, ICEX, NMCS, ACE and GBOT (Mauritius).
Review of Business Plan of Stock Exchanges:
Review of business model and business plan is not just a mandatory requirement for registration of the Exchange but also provides an additional perspective to the Exchange. SecMark has carried out this activity, scope of which remains as below:
- Feasibility of business model.
- Review of the proposed byelaws, rules and regulations.
- Review of the proposed trading and clearing system.
- Review of the proposed risk management systems including margining system and position monitoring system.
- Review of other Operational parameters.
- Review of proposed IT infrastructure including Capacity Planning and Business Continuity Plan.
- Review of the proposed financial performance of the Exchange.
Inspection of Stock & Commodities Brokers:
SecMark carries out the inspection of members on behalf of the Exchanges in order to evaluate the level of compliance of the members as per the guidelines of Exchanges and regulators. The broad scope of Inspection includes:
- Evaluation of various processes and the adequacy of internal controls embaded therein. Some of the processes include:
- Client Registration.
- Trading and Settlement.
- Margining and Risk Management.
- Banking and Demat.
- Funds / securities.
- Networth, Shareholding, Directorship etc.
- Trading Terminals and Internet Trading System.
- AML Compliances.
Membership Drives for getting Brokers for Exchanges:
SecMark is empaneled with 3 Exchanges for providing assistance in enrollment of members on these Exchanges. The role of SecMark includes:
- Compiling the Database of the prospective members.
- Offering Presentations to the prospective members about the Exchange, Promoters, Trading Platform, Clearing and Settlement Process, Prospects and advantages of membership etc.
- Obtaining membership documents and admission fee from the members interested in becoming member of the Exchanges.
- Procession of membership documents.
- Submission of documents to regulators and follow up for approvals.
Outsourcing of Membership Process of Exchanges:
With some of the major participants in the markets moving ahead and setting up Exchanges in India, It becomes all the more important for them to avail services on an outsourcing basis for one time activities like on-boarding members in the initial stages. The service of Membership is preferably outsourced as it is a one time activity requiring specialized skill and knowledge:
- Receipt of applications on behalf of the Exchange.
- Verification of documents submitted by the prospective members including the application, eligibility criteria, financial standing and capital adequacy, shareholding and director details etc.
- Follow-up for pending documents.
- Forwarding documents to Regulator for approval.
- Co-ordinating with Regulators for resolution of queries raised.
Listing Drives for getting Companies Listed on Exchanges:
SecMark proposes to offer assistance in listing of Companies to the Exchanges that may shortly obtain approval from SEBI for the launch of Equity and Derivatives segments. The services could include:
- Compiling the Database of the prospective companies to be listed.
- Manning of outbound call center for fixing and co-ordination of meetings with the company officials.
- Meeting Company officials and offering presentations.
- Processing documentary requirements for listing.
Implementation & Testing of Trading & Clearing Systems:
Apart from the services mentioned herein SecMark proposes to offer assistance in other areas, which could include:
- Testing and Implementation of Trading and Clearing Application.
- Setting / Review of processes up of functional departments like Trading and Surveillance, Inspection and Investigation, Membership, Listing etc.
- Designing of Standard Operating Procedures.
- Placement and HR Services.