After the strictness of market regulator SEBI, Bombay Stock Exchange i.e. BSE has made a big announcement. BSE on Thursday announced that it will close the weekly contracts of both Sensex-50 from November 14 and Bankex from November 18. As of now BSE is running 2 weekly derivative contracts – Sensex and Bankex. This means that BSE will continue to offer weekly derivative contracts for the Sensex. It is an index of 30 blue-chip stocks.
Let us tell you that in the month of August, the estimated turnover of BSE index options was Rs 2,603 lakh crore. According to the data, Sensex contributed 85% of the volumes in the financial year ending March 2024.
NSE can also announce
After BSE, now in the next few days NSE can also announce whether it will keep Nifty or Nifty Bank for the weekly derivatives market or not. NSE has two other weekly derivative contracts – FIN Nifty and Nifty Mid-Cap. The estimated turnover of index options for NSE in August was Rs 7,768 lakh crore.
may have an impact
According to Nitin Kamath, CEO of trading platform Zerodha, SEBI’s strict rules in the futures and options i.e. F&O segment may affect 60% of the trades in it and about 30% of the total orders of the broker. After the new rules come into effect from November 20, it will be decided whether the brokerage should be increased based on the impact of the business or not.
new rules of sebi
Market regulator SEBI has limited weekly expiry to one index per exchange. In such a situation, now only one expiry will be seen from one exchange in a week. The new rules for derivatives contracts will come into effect from November 20, 2024. This step has been taken by SEBI due to the continuous losses incurred by retail investors in the derivatives segment.
