BSE, NSE launch cross-currency derivatives

Stock exchange majors -- BSE and NSE -- on Tuesday launched cross-currency derivatives to provide a new asset class for market participants to diversify their investments.

The new asset class allows market participants to trade currency pairs that are the most active globally.

The two exchanges launched future and options contracts in "EUR-USD, GBP-USD and USD-JPY" pairs respectively.

Last week, securities market regulator SEBI had given its nod to stock exchanges for the launch of cross-currency derivatives.

The trading in currency derivatives was launched at NSE in August 2008 with the introduction of "USD-INR Futures".