Accordingly, market makers will have to seek registration from the stock exchange.  They will also have to provide two-way quote for 75 per cent of time in a day. The minimum depth of quote would be kept at Rs 1 lakh and execution of quotes must be guaranteed by the market maker.

According to the market regulator, the exchange will be required to prescribe the maximum spread between bid and ask price.  This exchange will help small enterprises that could not fulfill the trading requirements of the BSE and the NSE, raise capital. The BSE, NSE and the new entrant MCX Stock Exchange (MCX-SX) have shown interest in setting up an SME exchange.On capital adequacy, the exchanges may lay down additional criteria for Market Makers as risk containment measures and the same would be monitored by the bourses.