The move will be effective for all new indexed derivative contracts (including weekly, monthly, quarterly and semi-annual) introduced from November 20, 2024 onwards, the NSE said in a circular.
The lot size of Nifty50 has been increased from 25 contracts to 75, a 3x increase. Nifty Bank lot size has doubled from 15 to 30 currently.
Nifty Financial Services aka Fin Nifty will see the lot size increase from 25 to 65. The lot size of Nifty Midcap Select will increase from 50 to 120.
Nifty Next 50 lot size will increase from 10 to 25.
“Existing contracts with weekly and monthly expiration will continue with the existing lot size until their respective expiration date. In the case of existing contracts with quarterly and semiannual expiration, they will be moved to the new lot size on December 24, 2024 , end of day for Bank Nifty and December 26, 2024, end of day for Nifty, NSE said Earlier this month, Sebi had announced a six-step framework to address the household issue. losing money in high risk and high risk F&O reward play sectors As per the rules, which will come into effect in a phased manner from November 20, Sebi has increased the minimum contract size for futures and options. rates from Rs 5-10 lakh currently to Rs 15 lakh at the time of its introduction in the market.
Further, the lot size will be fixed in such a way that the contract value of the derivative on the review day is between Rs 15 lakh and Rs 20 lakh, the regulator said.
“Given the inherent leverage and higher risk of derivatives, this recalibration of the minimum contract size, in line with market growth, would ensure that the built-in eligibility and suitability criteria for participants are maintained as intended,” it had said. Sebi.
Disclaimer:
The information contained in this post is for general information purposes only. We make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability or availability with respect to the website or the information, products, services, or related graphics contained on the post for any purpose.
We respect the intellectual property rights of content creators. If you are the owner of any material featured on our website and have concerns about its use, please contact us. We are committed to addressing any copyright issues promptly and will remove any material within 2 days of receiving a request from the rightful owner.