BSE denies claims of 'technical glitches' occurring on June 4, stating that delays in NAV were caused by payment processing interruptions
BSE released a statement on Friday regarding complaints about 'technical glitches' observed on election result day, June 4. The exchange clarified that the delay in assigning NAV to investors, who bought mutual funds on June 4, was due to payment processing lags from banks.
"A few media outlets have reported issues relating to mutual fund NAVs on June 4th for some customers and attributed the reason for the delayed NAV, to BSE Star MF," BSE said in a release.
"It is hereby clarified that there was no technical glitch at BSE Clearing House (ICCL) on June 4th. Prima Facie, there was a lag in receiving details of credit /payments from payments aggregator(s) / bank(s) for few customers which led to the delayed NAV," the release further stated.
Multiple investors had taken it to social media that they were unable to square off their positions. Despite purchasing their mutual funds before the cut-off time, these investors were assigned the NAV for June 5 instead of June 4. This led to many investors incurring a loss.
The stock markets witnessed a bloodbath on the election result day as the actual results did not match with the overly optimistic figures projected by exit polls. Benchmark indices plummeted by around 5 per cent in a single day.
Many exit polls had forecasted an easy win for the NDA with some even predicting that the BJP's vote count could reach the 400 mark. However, while the NDA managed to surpass the majority threshold, BJP alone fell short of achieving the same.
However, the markets staged a recovery the following day. On Friday, the Nifty hovered around the 23,300 level, while the Sensex reached a new all-time high.