NSE Clearing introduces R3 SLB contracts

National Stock Exchange of India — National Stock Exchange of India Limited announced the introduction of shorter-tenure contracts under its Securities Lending and Borrowing (SLB) scheme, designated as the 'R3' series, effective from August 17. The new contracts feature a T+3 reverse-leg settlement cycle, with the first leg settling on T+1. They will be available daily for stocks eligible for trading in the Equity Derivatives Segment. Unlike existing SLB contracts, R3 contracts will not be foreclosed in the event of an annual general meeting (AGM) or extraordinary general meeting (EGM), and the facilities for repay, recall, and rollover will not be available. Other provisions regarding market timings, clearing, settlement, risk management, and corporate action handling remain unchanged. The introduction aims to provide market participants with a shorter-duration option for securities lending and borrowing, enhancing flexibility for short-term trading and lending strategies.