Search the Internet          Tips  Sites: Finance, Investment

DSE provides liquidity in US-64 for small investors

In a bid to provide liquidity to the small investors in the frozen UTI scheme - US-64 -- Delhi Stock Exchange has opened a special window for transactions in physical mode.

DSE is the only bourse to provide this facility and the decision has been taken in the interest of millions of small investors hit by the suspension of sales and redemption of US-64 units for six months from July 2.

Since the majority of unit holders are long-term investors who redeem their units with the UTI in physical forms, DSE is providing this facility to help have liquidity in the event of any contingency.

The DSE has opened the new counter for its trade under the Sebi rules which allows trading up to 500 units in physical form.

Presently, the units are tradable in demat form at the National Stock Exchange.

"The exchange is the first to offer help, while the mutual fund is working out ways to bail out millions of unit holders," said DSE executive director, P K Singhal, who had earlier worked with the Sebi.

He said the investors would get temporary relief because of the step taken by the exchange.

Tell us what you think of this report