Derivatives

In a consultation paper released late on Monday, SEBI proposed that the market-wide position limit for single-stock derivatives should be linked to the cash markets

The Securities and Exchange Board of India cracked down on the derivatives market after a 40-fold boom that led to billions of dollars in losses for retail investors

The steps are intended to raise the entry barrier for retail investors, whose losses have been mounting, as per a recent study by the watchdog

Other market infrastructure institutions have also revised their charges as per the Sebi mandate

Poornima Vardhan and Taponeel Mukherjee developed The APEX Formula to identify investment opportunities that deliver outsized returns that outperform benchmarks.

Not more than 50 strikes would be introduced for an index derivatives contract at the time of contract launch.

Says mkt claim on real economy 'excessively high', warns it may lead to instability

Foreign funds' open interest, or the number of contracts outstanding in value terms, reached 8.4 trillion rupees ($101 billion) on the National Stock Exchange Tuesday

The Bombay Stock Exchange will need to pay a higher regulatory fee to the market regulator on complying with Sebi's direction on fee based on notional value. Here's all you need to know.

National Stock Exchange (NSE) is set to introduce derivative contracts on Nifty Next 50 index from Wednesday. This came following an approval received from markets regulator Securities and Exchange Board of India (Sebi). The Nifty Next 50 index represents 50 companies from Nifty 100 after excluding the Nifty 50 companies. Under the derivative contract, the exchange would offer three serial monthly index futures and index options contract cycles. The cash-settled derivatives contracts would expire on the last Friday of the expiry month. The introduction of derivatives on the Nifty Next 50 index would complement the existing index derivatives product suite. The Nifty Next 50 index would represent the space between the Nifty 50 index comprising the top large & liquid stocks and the Nifty Midcap Select index comprising the top large & liquid mid-capitalised stocks, Sriram Krishnan, Chief Business Development Officer at NSE, stated last week. As of March 2024, the Nifty Next 50 ...

Despite the risks, the allure of India's market potential remains strong for both domestic and foreign market makers

The cash-settled derivatives contracts will expire on last Friday of expiry month

Brokers will firm up their opinion on the matter in a couple of months, after which investors will be consulted, Madhabi Puri Buch said at a brokers' forum in Mumbai

The report said that the rally in the mid, small, and microcap segments was significantly larger than the gains made by the benchmark Nifty this year

Why do sensible traders use these? Some hedge using F&O. Others play news-based events

The benchmark NSE Nifty 50 Index failed to scale a much-hyped 20,000 level and has fallen over 1% from its peak on July 20

Citing what it said were speculative media reports, SEBI said in a statement, "It is clarified that there is no proposal to curb retail participation in derivative markets"

Capital markets regulator Sebi on Sunday came out with a proposal to strengthen the existing price band formulation for scrips in the derivatives segment to deepen volatility management and minimize information asymmetry in the market. Price bands for scrip or a derivative contract represent the boundaries within which the competing orders of buyers and sellers are accepted for the day by the trading system of the stock exchange. For scrips having derivative contracts on them, these price bands are dynamic and can be flexed depending on trading during the day. In its consultation paper, Sebi has proposed that in case a share in the futures and options segment falls or rises beyond 20 per cent a day, cooling off period should be increased in a phased manner, subject to a maximum cooling-off period of one hour from the current 15 minutes at present. After this, such scrip should be permitted to move only a further up to 2 per cent as against the current limit of 5 per cent. The ...

Whether they make or lose money, traders have to incur transaction costs, including brokerage, exchange fees, turnover fees, and securities transaction tax, etc.

Sebi's decision is aimed at enhancing liquidity in the bond market. It will also give an opportunity to investors to hedge their positions