Mandatory use of STP system for all institutional trades executed on the stock exchanges

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....e stock exchanges. Straight Through Processing (STP) is generally understood to be a mechanism that automates the end to end processing of transactions of financial instruments. It involves use of a system to process or control all elements of the work flow of a financial transaction, what are commonly known as the Front, Middle, Back office and General Ledger. In other words, STP allows electr....

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....ctronic trade processing with a common messaging standard ISO 15022 w.e.f December 2, 2002. Accordingly, STP was launched in India on November 30, 2002. Currently, STP is being used by the market participants on a voluntary basis. To facilitate STP, SEBI has also issued circulars SMDRP/POLICY/Cir-15/00 dated December 15, 2000 & circular SEBI/SMD/SE/15/2003/29/04 dated April 29, 2003 which permitte....

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....een the STP Service Providers, it has been decided in consultation with the stock exchanges and the STP Service Providers that a STP Centralised Hub would be setup. Currently this STP Centralised Hub has been setup and made operational by NSE. NSE has obtained the necessary approvals from Department of Telecommunications (DoT) as an Internet Service Provider (ISP). Subsequently this STP Centralise....