Sebi margin rule on option sellers more bite than bark
1 month ago

Sebi margin rule on option sellers more bite than bark

Live Mint  

A perceived small change by the market regulator to strengthen the index derivatives framework may have a larger-than-anticipated impact on option trading volumes when it is applied on Thursday for the first time at the expiry of the weekly Nifty options contracts, market experts said. “However, it so seems that those selling option contracts in index options on expiry day will see a reasonable rise in margins to trade." The other Sebi measure stipulated that exchanges could launch just one weekly index option expiry against multiple weekly expiries prior to 20 November. “Two of three directives take immediate effect, one being the increase in ELM and the other, single index option expiries per exchange," said Rajesh Baheti, managing director of Crosseas Capital, a large jobbing and arbitraging firm.

Trading Options Index Nifty Sensex Expiry Day Expiry Level Elm 20 November Option Weekly Index Options Sebi Margin Rule Margin Rule Sebi Margin Contract Level  weekly  sellers  option  level  bark  bite  options  nifty  trading  index  expiry  sebi  margin  rule

History of this topic

BSE, NSE contest to hot up under Sebi's eagle eye
2 weeks, 5 days ago

BSE, NSE contest to hot up under Sebi's eagle eye

Live Mint  

Competition between Asia's oldest exchange and its younger, bigger rival is set to hot up with BSE shifting its weekly Sensex contract expiry from next month even as Sebi's curbs to temper retail frenzy in derivatives have gotten under way. The BSE said in a circular last Thursday that it will shift its weekly Sensex contract expiry to the last …

Sebi can do more to dissuade retail speculation in futures and options
1 month, 1 week ago

Sebi can do more to dissuade retail speculation in futures and options

Live Mint  

A recent Sebi report highlighted the significant losses individual traders incurred in the equity futures and options segment between FY22 and FY24. While individuals made losses in F&O, the foreign portfolio investors and proprietary traders earned about ₹28,000 crore and ₹33,000 crore, respectively, in FY24. Investor protection is one of the prime mandates of Sebi, and the findings above caused …

Sebi curbs to help boost BSE's Sensex options, says CEO
1 month, 1 week ago

Sebi curbs to help boost BSE's Sensex options, says CEO

Live Mint  

Mumbai: Recent regulatory curbs on options trading will actually give a fillip to BSE Ltd's ongoing efforts to make the Sensex and Bankex options more mature products, enabling the exchange to potentially generate higher premium turnover and earn more in transaction charges, according to bourse’s MD and CEO Sundararaman Ramamurthy. Our efforts have been on now it has got regulatory …

BSE share price skyrockets 11% as net profit triples in June quarter
4 months, 2 weeks ago

BSE share price skyrockets 11% as net profit triples in June quarter

Live Mint  

Shares of Bombay Stock Exchange, one of the Asia's oldest stock exchanges, surged by 11% in early morning trading today, reaching ₹2,657 apiece after the company's June quarter results exceeded analysts' expectations, sparking a strong rally in the stock. The average daily turnover in the equity cash segment for the first quarter of FY25 stood at ₹9,006 crore, compared to …

Sebi Proposes Sweeping Changes in Derivative Market to Reign in Speculation
4 months, 3 weeks ago

Sebi Proposes Sweeping Changes in Derivative Market to Reign in Speculation

Deccan Chronicle  

Mumbai: To counter risks to market stability and curb losses made by individual retail investors due to hyperactivity in the equity derivative market watch dog Sebi released a consultation paper seeking comments from market participants by August 20, 2024. The paper seeks to introduce measures to enhance investor protection and promote market stability in derivative markets while ensuring sustained capital …

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