Exchange opts for financial settlement or encashment. - Money dna
The small investors in e-series gold and silver units traded on National Spot Exchange (NSEL) may be able to get back their invested amount faster.
The beleaguered commodity bourse, which is under severe pressure to redeem the e-series units, has proposed a faster exit route to its unit holders by way of financial settlement or encashment of e-series gold and silver units rather than giving physical delivery of equivalent precious metals.
Though the exchange has the required physical inventory, the process for physical delivery is taking substantial time due to heavy redemption pressure.
“In order to offer a fast exit route to unit holders, the exchange has made an arrangement of providing exit option to all e-series holders of gold and silver units by way of financial settlement (encashment of E-Series units), after considering the feedback received from all ...