Summary of this article
NSE chairman Srinivas Injeti wants Sebi to reconsider the self-listing restriction
Sebi allows exchanges to list, but bars them from listing on themselves
Nasdaq, HKEX, LSEG, Euronext and SGX have self-listed shares
Capital markets regulator, the Securities and Exchange Board of India (Sebi) should reconsider its rule that prevents stock exchanges from listing their own shares, NSE chairman Srinivas Injeti said on September 25, 2026, a day after the exchange made its stock-market debut on the BSE.
NSE shares were listed on the BSE at Rs 1,800 apiece on September 24, at a premium of 0.84 per cent to the issue price. The listing valued the exchange operator at around Rs 4,45,500 crore.
Injeti’s comments bring back an old regulatory question: can an exchange run a trading platform and also have its own shares traded on it?
What Does Sebi’s Rule Say
India allows stock exchanges to list their shares, but they cannot list them on their own platforms. Sebi’s framework for market infrastructure institutions (MIIs), introduced in 2012, allowed stock exchanges to list, subject to safeguards for dealing with conflicts of interest. At its April 2, 2012 Board meeting, Sebi said stock exchanges could be permitted to list if they put in place “appropriate mechanisms for tackling conflicts of interest”. However, it also explicitly said, “The stock exchanges will not be allowed to list on itself.”
The provision was later incorporated into the Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) Regulations, 2012. Regulation 45 says that a recognised stock exchange can apply to list its securities on another recognised stock exchange, but not on itself or its associated stock exchange, subject to Sebi’s conditions and approval.
In simple terms, NSE can list on BSE, as it has done, and BSE, meanwhile, is already on NSE. Neither can list its own shares on its own platform.
Sebi Revisited The Issue In 2015
The matter did not end with the 2012 framework. In November 2015, Sebi’s Board considered representations seeking permission for stock exchanges to list. It approved a framework with safeguards covering shareholding, fit-and-proper criteria and conflicts of interest. But the self-listing restriction remained.
Sebi later examined how other countries handle self-listing. A Sebi committee noted that exchanges in some jurisdictions list their own shares, but also pointed out that the market structures in those countries are different from India’s.
An exchange is not just a commercial company. It makes and enforces trading rules, monitors market activity, and runs the infrastructure through which securities are traded. If its own shares are traded on that platform, the exchange could find itself dealing with decisions involving its own stock while also being responsible for regulating the market.
Which Global Exchanges Are Self-Listed
India is not alone in having to deal with this conflict. Several large global exchange groups have their own shares traded on markets they operate.
Nasdaq Inc, which operates the Nasdaq Stock Market, is itself listed on the exchange. Its shares trade under the ticker NDAQ on the Nasdaq Global Select Market. Hong Kong Exchanges and Clearing (HKEX) is listed on the Hong Kong Stock Exchange, which is operated by its wholly owned subsidiary, The Stock Exchange of Hong Kong. London Stock Exchange Group (LSEG) is listed on the London Stock Exchange, while Euronext N.V. is listed on Euronext’s own markets in Amsterdam, Brussels, Lisbon and Paris. Singapore Exchange (SGX) is also listed on its own market.
These markets use different safeguards to deal with the potential conflict. They include independent committees, regulatory oversight, disclosure requirements and, in some cases, intervention by an external regulator.
How Does Australia Deal With The Conflict
The Australian Securities Exchange (ASX) is another example often cited in discussions on self-listing. ASX has arrangements with the Australian Securities and Investments Commission (ASIC) to deal with the conflict between its role as a listed company and its role as a market operator. Under the arrangement, ASIC has powers relating to ASX’s admission to, or removal from, the official list and the quotation, suspension or stopping of trading in its securities.
Singapore and Hong Kong have also put in place committees and other safeguards to handle conflicts involving their exchanges’ regulatory and commercial roles.
Why Does This Matter For NSE
NSE dominates India’s equity market, accounting for about 93 per cent of cash-market trading and nearly 75 per cent of options trading. This makes the self-listing issue important for NSE. If NSE is allowed to list its own shares, Sebi would have to decide how matters involving the stock should be handled. These could include listing compliance, market surveillance, suspension of trading and other regulatory decisions.
Other countries have dealt with such conflicts by giving some of these responsibilities to independent committees or external regulators.
