The exchange will launch India’s first exchange-traded weather derivatives contract linked to Mumbai rainfall.
The National Commodity & Derivatives Exchange Limited (NCDEX) will launch India’s first Securities and Exchange Board of India (Sebi) approved exchange-traded weather derivatives contract, called RAINMUMBAI, on 29 May. RAINMUMBAI will be cash-settled and based on the deviation of actual rainfall The contract is designed to help businesses and institutions manage financial risks linked to changes in rainfall during the monsoon season. NCDEX said that the product has been deve