E Silver Contacts

MUMBAI: After successful launch of E-Gold, National Spot Exchange Ltd (NSEL) today announced that it will launch E-Silver, the second in the
e-series products designed to promote savings and investment by the masses.

E-Silver will go live from tomorrow. By making silver available in smaller denomination of 100 grams and its multiple, NSEL is targeting millions of investors willing to put their small savings into the white metal, a release said here.

This is a drive towards financial inclusion, as silver is made available at the same price in the entire country for all segments of the society. A small investor, whether based in Mumbai or Sikkim, can buy silver at the same price.

A small investor willing to put in Rs 5,000 or a HNI (high net worth individual) wanting to invest Rs 5 crore, can buy silver at the same price. Hence, E-Silver is based on the principles of just and impartial treatment to all, it said.

E-Silver will be backed by physical delivery. The precious metal will be stored in the exchange-designated vaults and will be tradeable on the NSEL platform.

The product will also ensure seamless entry and exit as well as transparent pricing to investors. Since it can be traded in denominations as low as 100 grams (valued at around Rs 2,800), it will provide avenue for investment even for lower income group, the release said.

E-Gold, within one month of its launch (on March 17, 2010), has witnessed a huge response from investors.

The new E-Silver contracts will be traded from 10 am to 11:30 pm from Mondays through Fridays. The contracts are sized at 100 gram and multiples thereof.

The minimum tick size will be 10 paise per quote. The clearing and settlement pay-in and pay-out are based on T+2 cycles.

"In order to promote savings and investment among small investors, we have launched E-Gold and E-Silver, which have been distinguished by simplicity, transparency, accessibility, affordability, tradability and cost effectiveness. Thus, it is a value-for-money product for investors," NSEL Managing Director & CEO Anjani Sinha said.

The worldwide economic meltdown has forced investors to look at alternative avenues for parking funds and e-series is an attractive product for filling the gap, Sinha said.