NSE Prime

Subject – Economy

Context – The National Stock Exchange (NSE) has launched a new corporate governance initiative – ‘NSE Prime’

Concept –

The National Stock Exchange (NSE) has launched a new corporate governance initiative – ‘NSE Prime’, a framework that prescribes higher standards of corporate governance for listed companies than those required by regulations.
All the NSE-listed companies can adopt NSE Prime voluntarily.
Listed companies that voluntarily choose to be part of NSE Prime will need to comply with pre-defined norms on an ongoing basis, which will be monitored by NSE.
The initiative will raise the bar for corporate governance standards in India, enable investors to identify companies that have voluntarily signed up for higher standards of corporate governance, broaden the quality of investors in listed companies and further strengthen trust in Indian capital markets.
The world’s largest derivatives exchange by trading volume, the NSE is ranked 4th in the world in the cash equities by a number of trades.