This refers ‘Open sesame: SEBI unveils options trading in commodities’ (September 29).This will go a long way in deepening the market and making the price discovery mechanism more efficient. Though the capital market has both futures and options trading, the commodity market was devoid of options till date. Options contracts are much less risky than futures as the potential loss is sealed to the premium paid by the buyers of put and call options without any limit on the potential profit. However, in the case of futures, the risk of loss is unlimited if the price moves in the opposite direction.

Options trading will also ensure greater participation by farmers and SME operators in the derivatives market as the transaction cost is less for options. But the move has not run full circle. The liquidity of the commodity derivatives market will increase manifold if the banks and mutual funds are also allowed entry in the market. Since SEBI regulates both the capital and commodity markets, why don’t we permit all exchanges to trade in all derivative products?

Philip Sabu

Thrissur, Kerala

Sheer cruelty

Cruelty to animals is at its peak in Kerala. Innumerable street dogs are caught and mercilessly slaughtered, violating the Supreme Court order. Police action should be taken against those killing stray dogs. One of the problems is street pollution by fish and meat vendors and hoteliers, leading to the stray dog menace. The municipal and panchayat members should think of keeping streets clean before jumping to kill the hapless animals.

KA Solaman

Alappuzha, Kerala

Ego boost, that’s all

This is with reference to the editorial, ‘Towards better systems’ (September 29). At best, the rise in the Global Competitiveness Index can boost our ego and nothing else. The ground realities are still far from perfect. Our companies still prefer to invest outside. Unless fresh lending is revived by banks, not much will change, and for that to happen the huge bad debt issue needs to be resolved. Land acquisition remains a huge bottleneck, especially after the recent apex court order on the Singur land fiasco. .

Bal Govind

Noida, Uttar Pradesh

Be circumspect

This refers to ‘Katju booked for sedition’ (September 29). Former Supreme Court judge Markanday Katju needs to be circumspect and weigh his words before uttering anything in public or reach out through social media lest he be caught in a web. The political class often fires loose cannons to remain in the news, but it doesn’t behove a former judge to do that. It only provides ammunition to be used against India.

HP Murali

Bengaluru

Sticky wicket

The Justice Lodha Committee has done well to approach the Supreme Court seeking direction to replace all the office-bearers of the BCCI with immediate effect. The apex court has rightly warned the BCCI of grave consequences should it refuse to fall in line with the committee’s recommendations. The BCCI has been a law unto itself.

NJ Ravi Chander

Bengaluru

Unless the Supreme Court asserts its supremacy by taking strong decisions against those who invite ‘contempt of court’, it cannot command respect. The action against the BCCI will send the correct message to governments, organisations and institutions across the country.

S Ramakrishnasayee

Ranipet, Tamil Nadu

Bankers’ blues

With reference to ‘Mundra flags possible leadership vacuum in public sector banks’ (September 29), on the very first day of one’s career in a bank, the superannuation date is known. For 15 years, from 1985 to 2000, very few top officers were recruited to PSBs, where career progression is very slow. The only way out is by raising the retirement age to 62 or 65 years while at the same time handholding mid-level officers so they take up greater responsibilities.

PD Sankaranarayanan

Thiruvananthapuram

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