Kushal Mansukhani Roll Number : 30 Class : SYBBI Name : Kushal Mansukhani Roll No : 30 Class : SYBBI Assignment Topic : Securities

Trading Corporation Of India Limited. Securities Trading Corporation of India Limited (STCI) was set up as a subsidiary of Reserve Bank of India in May 1994 with the objective of fostering an active secondary market in Government of India Securities and Public Sector bonds. The Company had a subscribed and paid up capital of Rs 500 crores with RBI owning the majority stake to the tune of 50.18%. In 1996, STCI was authorized by RBI as one of the first Primary Dealers in India . As a Primary Dealer, the Company undertook trading in GOI securities, Public Sector bonds, Non-SLR instruments and money market instruments. The Company also carried out proprietary equity trading. Other lines of activities included trading in Interest Rate Swaps- both for hedging and market making. Core Activities : Partcipation Underwriting Market sharing Trading in government securities Its shareholding pattern 78.17% by Public Sector Banks, 6.21 % Public Sector Insurance Companies , 15.62% by Others. In Feb, 1996 STCI was accredited by RBHI as a primary dealer in government securites. RBI has permitted the company to participate in the call, notice adn term money market both as borrowers and lender in order to enable it to fulfill its task of participating in the primary issuance of government paper and developing an active secondary market. It is an Approved Financial Instituition by the government of india. RBI also provides STCI with Conditional liquidity. It has achieved the status of the largest primary dealer in government securities. STCI has diversified its activities into PSU/ Corporate Bond Market. It has also been partcipating in the Primary Issues of bonds of DFIs and PSUs in a limited way and dealing in these bonds in the secondary market in order to provide liquidity to it. STCI acts as a primary dealer in government securities and participates in the call money market. RBI being the promoter, provides all possible support to the corporation in order that it fulfills its obligations towards the money market.

Kushal Mansukhani Roll Number : 30 Class : SYBBI IT also particiaptes in the lending and borrowing activities of the various sub markets of the indian money market such as call money market, treasury bills market, CD Market, CP marketm ICD market, ready forward market and commercial market.

Current Activities of STCI are as follows : Underwriting of Government Securities and treasury bills Participation in the auctions of government securities and treasury bills Market making and trading in the government securities and treasury bills two way quotes. Trading in PSU bonds and other corporate debt instruments. Participation in repo markets of government securities and treasury bills Participation in the inter-bank call/notice/term money markets, both as a borrower and as a lender.