Mumbai: A glitch in NSE propelled the price of Axis Gold ETF and Axis Nifty ETF higher by a whopping 6,553 per cent and 741 per cent respectively on Friday, leaving investors in the lurch and forcing the exchange to cancel trades in the two ETFs.
At 2:48 pm, Axis Gold ETF was quoting at Rs 3,482.85, up 6,553 per cent from previous close of Rs 52.35, while Axis Nifty ETF was quoting at Rs 1,151, up 741.37 per cent from the previous close of Rs 136.80.
“Members are requested to note that trades in AXISGOLD and AXISNIFTY till 09.50 am will be cancelled by the exchange,” a NSE spokesperson said in an e-mail response. “Trading in this securities shall resume with the revised price bands post this activity and the same will be notified in advance,” he said.
On July 17, Axis Gold ETF had fixed July 24 as the record date for the purpose of splitting mutual fund units from Rs 100 to Re 1, while Axis NIFTY ETF announced July 24 as record date for face value split of shares from Rs 100 to Re 10 each. The glitch in Friday’s trade failed to consider the stock split, dealers said.
Technical glitches have impacted operations at the country’s largest exchange earlier as well, and the markets regulator has also imposed a penalty on NSE for the same. Last month, many traders and brokers were left high and dry when NSE Bank Nifty option prices were not reflecting accurately on the terminals linked to the exchange.