Description

NSE Clearing revises cut-off timings for addition and release of various collateral types including cash, FDR, bank guarantees, and pledged securities effective January 19, 2026.

Summary

NSE Clearing Limited has revised the timings for collateral addition and release in the commodity derivatives segment based on member feedback. The new timings extend the cut-off time for cash and FDR deposits to 7:30 pm and provide multiple batch windows throughout the day for pledged securities release. These changes will be effective from January 19, 2026.

Key Points

  • Cut-off time for deposit of Cash and Fixed Deposit Receipt extended to 7:30 pm on all settlement days
  • Release of Cash/FDR/Bank Guarantee requests accepted until 8:00 pm with immediate or EOD/value date processing
  • Pledged securities release available in 10 batches from 9:00 am to 8:00 pm
  • Members must request release of repledge securities for pay-in one day prior, not on pay-in date
  • Changes supersede previous circular ref. no. 67788 dated April 30, 2025

Regulatory Changes

Addition of Collateral

  • Cash and FDR: Cut-off time set at 7:30 pm on all settlement days (revised from previous timing)

Release of Collaterals

  • Cash/FDR/Bank Guarantee: Request cut-off at 8:00 pm with immediate processing or EOD/value date option
  • Pledged Securities: 10 batch windows with staggered cut-off times:
    • Batch 1: 9:00 am
    • Batch 2: 9:30 am
    • Batch 3: 10:00 am
    • Batch 4: 12:00 pm
    • Batch 5: 2:00 pm
    • Batch 6: 3:00 pm
    • Batch 7: 4:00 pm
    • Batch 8: 5:00 pm
    • Batch 9: 6:00 pm
    • Batch 10: 7:00 pm
    • Final window: 8:00 pm (Immediate/EOD)

Compliance Requirements

  • All members, custodians, and PCMs must adjust their collateral management processes to align with new timings
  • For repledge securities required for pay-in, members must ensure release requests are made one day prior to pay-in date, not on the pay-in date itself
  • Members should update internal systems and procedures to accommodate extended cut-off times
  • Contact details for queries: Phone 1800 266 0050 (IVR Option 2), Email: collaterals_ops@nsccl.co.in

Important Dates

  • Circular Date: January 16, 2026
  • Effective Date: January 19, 2026
  • Supersedes: Circular ref. no. 67788 (Download Ref No: NCL/CMPT/0123) dated April 30, 2025

Impact Assessment

Operational Impact

  • Provides greater flexibility to members for collateral management with extended evening cut-off times
  • Multiple batch windows for pledged securities release throughout the day enables better liquidity management
  • Members need to update internal processes and train operations teams on new timings

Market Impact

  • Enhanced operational efficiency for clearing members in commodity derivatives segment
  • Improved risk management capabilities with more frequent release windows
  • Better alignment with member requirements based on industry feedback

Risk Considerations

  • Members must strictly adhere to one-day prior rule for repledge securities to avoid pay-in failures
  • Extended timings require operational readiness from members until 8:00 pm

Impact Justification

Operational change affecting collateral management timings for clearing members in commodity derivatives segment. Extends cut-off times providing more flexibility but requires process adjustments.