New window for block deals at BSE, NSE

As a part of efforts to curb intra-day volatility in share prices, SEBI on Tuesday announced a separate 'Block Deal Window' at the NSE and BSE to execute such big deals transparently within half-an-hour of morning trade.

"There is now a separate window for block deals. Block deals can now take place only from 9.55 a.m. to 10.25 a.m. along with the normal trading," M Damodaran, chairman, SEBI said.  The separate window for block deals were initiated at BSE and NSE from Monday.

"There has been a tendency of large number of block deals which disrupt the market and through sudden fall or rise in prices of shares," National Stock Exchange CEO Ravi Narain said, adding that the new system for block deals would reduce intra-day volatility.

The new system would protect the interest of both buyers and sellers without disrupting normal trading.

The block deal window will be transparent, as it will show the names of buyers and sellers beyond a threshold limit. If there are multiple buyers, their names may not be disclosed unless they buy shares beyond the threshold limit.