Full step by step story and my thought process about extending trading hour:-
STEP:-1
Extending trading hour possible only after,
A major step towards a simpler securities market trading infrastructure, regulator Securities and Exchange Board of India (Sebi) on Wednesday 27 DEC 2018 announced the much-awaited integration of stocks and commodities trading on a single exchange from October 1ST next year.
STEP:1
27 Dec 2018. Stocks, commodities to trade on single exchange from October 1st 2018
https://www.livemint.com/Money/zJKV...to-trade-on-single-exchange-from-October.html
Above was the stepping stone for extending the hour of equity derivative segments. NSE BSE suddenly starts thinking of generating more income using the same infrastructure which would be used for commodity trading. Some big brokers also supported that thought.
After that, BSE based big brokers lobby first approached SEBI for extending a derivative market hour. That demand was pending for long for the same set of brokers, but with the launch of the commodity, they think it is cost-effective to share the same infrastructure till midnight.
STEP:-2
Still, Jan 2018 more powerful NSE lobby was thinking that idea may be good to generate more volume, hence earning. There were getting profit sharing from SGX but losing more volumes day by day.
Finally NSE decided to stop SGX Nifty
Feb 2018 so that some volumes from there can shift back.
Within last 3-4 years major NIFTY volumes of NSE was shifted to SGX.
NSE finally decided to stop SGX on FEB 2018.
STEP:-2
9 Feb, 2018. No More Offshore Derivatives Of Indian Equity Indices, Stocks. NSE BANNED SGX NIFTY.
Here is the news link:-
https://www.bloombergquint.com/mark...-not-provide-market-data-to-foreign-exchanges
As a result, full fledge war started NSE vs SGX when
12 Feb 2018.SGX looks to bypass curbs placed by Indian bourses
https://www.livemint.com/Money/TZ6L...to-bypass-curbs-placed-by-Indian-bourses.html
STEP:-3
SGX said they are going to list New Indian Derivatives from June bypassing NSE. Now NSE will not get any money and lose business too.
STEP:-3
11, APRIL 2018.
SGX To List New Indian Derivatives In June, NSE To Investigate How
https://www.bloombergquint.com/markets/2018/04/11/sgx-to-list-new-indian-derivatives-in-june
Now NSE has no other choice to extend the trading time for Nifty as long as possible as a partnership with SGX has ended and they would not get any profit share from SGX too.
So, now powerful NSE lobby joined with BSE with full force for extending timing.
Finally, SEBI gave the permission within 1 month. SEBI approved that from 1 OCT 2018 too which was the earliest possibility in line with Commodity launch date of NSE-BSE.