There is an anomaly in BSE’s market value, says CEO

Asia’s oldest stock exchange said its market cap does not reflect the true value of the assets and intellectual property it owns.

There is an anomaly in the market cap of BSEs relative to… the real assets and the kind of valuable IPs and markets out there, said Ashishkumar Chauhan, managing director and chief executive officer of BSE Ltd., in an interaction with BloombergQuint, repeating what he said in an interview earlier.

Listed on the National Stock Exchange, BSE is valued at Rs 5,543 crore as at September 30. In comparison, the NSE is valued at close to Rs 1.40,000 crore based on trades in the over-the-counter market.

Citing the example of BSE Star Mutual Fund, Chauhan said that given the scale of its distribution, if the platform were a standalone company, “it would have been valued at very large sums”.

BSE Star MF, India’s largest regulated exchange-based online mutual fund distribution platform, processed a record 1.52 crore worth of Rs 35,242 crore in September. As many as 9.71 lakh new systematic investment plans were registered during the month.

The platform has realized 7.8 crore trades in the first six months of the current fiscal year, which is 83% of the 9.38 crore trades it clocked in FY21. Sales rose 45% year-on-year to Rs 1,09,836 crore in the quarter ended September.

Watch the full interaction here: