SEBI

2024 - 7 - 31

SEBI’s New Playbook: Less Speculation, More Stability in Options Trading!

F&O Trading - Financial Regulation - Options Market - Retail Investors - SEBI

Is SEBI's newest proposal the 'magic wand' for F&O trading troubles? Find out how they aim to clean up the act with drastic changes!

The Securities and Exchange Board of India (SEBI) is swinging into action with new proposals aimed at reigning in speculation within the futures and options (F&O) market. With amazing statistics showing around 92.5 lakh retail traders faced losses amounting to a staggering ₹51,689 crores in FY24, the urgency for reform is palpable. The proposed tweaks could see significant shifts in index derivatives contract sizes and the way trading limits are monitored. Could SEBI's intentions be the 'hero' that saves retail investors from a wild and reckless market?

With an eye on ensuring market stability and safeguarding small investors, SEBI's proposals are deemed a game-changer. By tightening regulations surrounding index derivatives, such as implementing mandatory T+0 settlement systems, they plan to combat the chaos that’s left many traders pulling their hair out. Even Nithin Kamath, co-founder of Zerodha, expressed doubts about the effectiveness of proposed changes, hinting at the complex relationship between futures and options trading. But is SEBI ready to put on their superhero cape and tackle the apparent 'F&O mess' head-on?

One has to laugh at the idea that with these new rules, small investors might feel like they are living in a safety bubble. SEBI is also focusing on reducing contract sizes to make the market more accessible, thus encouraging widespread participation without the sweat of speculative risk hanging overhead. For those considering dipping their toes in, the proposed changes are set to drain some of the hyperactivity out of the trade, leading to a more responsible approach toward investments.

As this F&O de-addiction campaign unfolds, it’s intriguing to note that BSE is capitalizing on the situation. With SEBI eliminating some options contracts, the Bombay Stock Exchange is likely to attract traders looking for a hassle-free experience. As statistics continue to flow post-implementation of the new rules, traders may just find that less speculation leads to more successful investing! Did you know? The average retail investor earns only 3-5% from commitment but loses over 25% in speculative trading! SEBI's latest plans seem timely for those investing in their financial futures!

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Image courtesy of "Business Standard"

Sebi F&O proposals seen further boosting appeal of options segment (Business Standard)

The proposed increase in index derivatives contract size by the Securities and Exchange Board of India (Sebi) to the derivatives framework is seen boosting ...

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Image courtesy of "Business Today"

'No Paytm-like contamination in markets': Sebi chief says ... (Business Today)

Buch made her stand clear: individual intermediaries should not be allowed to conduct KYC due to the risk of systemic contamination, as evidenced by the ...

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Image courtesy of "Economic Times"

sebi consultation paper: Sebi begins crackdown on F&O mess ... (Economic Times)

The regulator, noting that 92.5 lakh retail traders and proprietorship firms suffered trading losses amounting to Rs 51689 cr in FY24, ...

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Image courtesy of "Livemint"

Zerodha's Nithin Kamath says SEBI suggestions on F&O 'won't really ... (Livemint)

Zerodha's Founder and Chief Executive Officer Nithin Kamath says the suggested changes in the Securities and Exchange Board of India's new F&O consultation ...

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Image courtesy of "The Economic Times"

Options Clampdown: Zerodha's Nithin Kamath says Sebi proposed ... (The Economic Times)

The Zerodha co-founder and CEO pointed out that futures traders generally have a higher success rate than option buyers. Futures traders tend to be ...

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Image courtesy of "Moneycontrol.com"

Sebi proposes changes to index derivative framework to reduce ... (Moneycontrol.com)

The Securities and Exchange Board of India (Sebi) has proposed tighter derivatives regulations to boost market stability and protect small investors, ...

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Image courtesy of "Times of India"

Sebi bats for making T+0 system mandatory for all (Times of India)

India Business News: MUMBAI: Sebi chairperson Madhabi Puri Buch on Tuesday said that soon the regulator would put a proposal to its board, ...

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Image courtesy of "India Today"

Sebi proposes new rules to curb speculation in index derivatives (India Today)

The proposed changes include adjustments to the collection of option premiums, revisions to contract sizes, and stricter monitoring of trading limits.

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Image courtesy of "Business Standard"

All you need to know about Sebi proposals on index derivatives (Business Standard)

Decoded Sebi's proposals to curb speculation in F&O: The market regulator on July 30 proposed these seven measures in its consultation paper on index ...

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Image courtesy of "BQ Prime Hindi"

SEBI सट्टेबाजी पर लगाम लगाने के लिए F&O नियमों को करेगा सख्त ... (BQ Prime Hindi)

वायदा बाजार में सट्टेबाजी को करने के लिए SEBI ने नए नियमों का कंसल्टेशन पेपर जारी किया है. मार्केट रेगुलेटर को उम्मीद है कि उसके इन ...

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Image courtesy of "Hindustan हिंदी"

फ्यूचर एंड ऑप्शन ट्रेडिंग में निवेशकों के डूबे ₹60000 करोड़, SEBI ... (Hindustan हिंदी)

सेबी की चेयरपर्सन बुच ने कहा कि भले ही शेयर बाजारों को एफएंडओ कम होने पर शुल्क कम मिल सकता है लेकिन लंबी अवधि में यह सभी ...

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Image courtesy of "India TV हिंदी"

शेयर बाजार में हो रही सट्टेबाजी पर जल्द लगेगी लगाम, F&O सेगमेंट के ... (India TV हिंदी)

पूंजी मार्केट रेग्युलेटर सेबी (SEBI) ने बेलगाम हो रहे डेरिवेटिव कारोबार (F&O) को काबू करने के लिए सख्त नियम लाने का प्रस्ताव दिया है।

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Image courtesy of "Economic Times"

Sebi F&O steps | Ajay Bagga: Sebi move to curb F&O trading may ... (Economic Times)

Ajay Bagga explained that reducing F&O market volumes would increase genuine hedging costs and complexity, thereby reducing volumes and making markets ...

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Image courtesy of "The Economic Times"

Sebi's F&O de-addiction campaign throws up an unlikely winner ... (The Economic Times)

With Sebi's crackdown on derivatives affecting NSE, BSE is gaining market share in F&O. Sebi's new rules limit weekly options to one benchmark index, ...

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Image courtesy of "Livemint"

SEBI cracks down on F&O trading mess, suggests contract size to ... (Livemint)

SEBI has proposed weekly options contracts to be provided on a single benchmark index of an exchange and brokerages to collect option premiums upfront from ...

SEBI proposes crackdown on speculative index derivatives trading (Business Standard)

In a bid to curb excessive speculation and protect investors, the Securities and Exchange Board of India (SEBI) on Tuesday proposed a series of measures to ...

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Image courtesy of "Times of India"

Sebi eyes 6x contract value hike to curb F&O speculation (Times of India)

India Business News: On Tuesday, Sebi proposed measures to curb speculative trading in index derivatives, including increasing the minimum contract value to ...

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Image courtesy of "The Economic Times"

Sebi proposes measures to curb rise in speculative trading in index ... (The Economic Times)

SEBI proposed raising the minimum contract size for index derivatives and limiting weekly index product offerings to restrict risky speculation among retail ...

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Image courtesy of "मनी कंट्रोल"

SEBI ने एक बार फिर F&O ट्रेडिंग को लेकर चेताया, कहा-परिवारों को हो रहा हर ... (मनी कंट्रोल)

SEBI ने एक बार फिर फ्यूचर्स एंड ऑप्शंस ट्रेडिंग करने वाले रिटेल ट्रेडर्स को आगाह किया है। मार्केट रेगुलेटर ने एक स्टडी के आधार पर ...

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Image courtesy of "Business Standard Hindi"

F&O में तेजी पर लगेगा अंकुश! SEBI ने निवेशकों की सुरक्षा और बाजार की ... (Business Standard Hindi)

अगर सेबी का प्रस्ताव मंजूर हो जाता है तो एनएसई और बीएसई के ट्रेडिंग वॉल्यूम में गिरावट आ सकती है और उनके मुनाफे पर भी असर पड़ ...

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Image courtesy of "CNBCTV18"

Rajesh Baheti explains potential impact of SEBI's proposal to limit ... (CNBCTV18)

SEBI is telling exchanges that you can only have one weekly option contract on one index. So NSE has four weekly option contracts, and BSE offers two, so they ...

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Image courtesy of "Business Today"

Sebi F&O crackdown: Market volumes to plunge 30-40%; NSE, BSE ... (Business Today)

IIFL Securities sees higher impact for NSE as options accounts for 60 per cent of its revenues, while for BSE it is 40 per cent. IIFL Securities estimates a ...

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Image courtesy of "Business Today"

F&O trading: Why Sebi's 7 proposals remind experts of South ... (Business Today)

F&O crackdown: The discussion paper by Sebi was perhaps prepared before the Budget announcements and, therefore, does not account for the impact of such ...

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Image courtesy of "Livemint"

SEBI's proposed F&O measures: How will brokerages like Zerodha ... (Livemint)

The Securities and Exchange Board of India's (SEBI) proposed F&O measures to the derivatives trading framework are set to significantly impact the market, ...

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Image courtesy of "BQ Prime Hindi"

'अगर मकसद सट्टेबाजी रोकना है तो...; SEBI की F&O सख्ती पर बोले नितिन ... (BQ Prime Hindi)

ऑप्शंस करीब असीमित लीवरेज के साथ आते हैं, जबकि फ्चूचर्स लीवरेज 6 गुना (इंडेक्स के लिए 15%) पर सीमित है: नितिन कामत.

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Image courtesy of "Moneycontrol.com"

Broker Shares Bazaar, probed for running illegal PMS, now ghosts ... (Moneycontrol.com)

The brokerage lost its membership with BSE after the exchange came to know that the brokerage was running an unregistered PMS.

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Image courtesy of "Moneycontrol.com"

Exchanges, retail brokers to be affected most by proposed SEBI ... (Moneycontrol.com)

The measures proposed by market regulator SEBI to curb speculation by retail traders in the F&O segment will have varying effects on market intermediaries, ...

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Image courtesy of "The Hindu BusinessLine"

SEBI proposals may impact earnings of exchanges, crimp F&O ... (The Hindu BusinessLine)

SEBI's new equity derivatives proposals may reduce volumes by 30-40%, impacting NSE's earnings and IPO pricing power.

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Image courtesy of "The Indian Express"

Explained: SEBI's proposed measures to curb F&O speculation (The Indian Express)

SEBI has proposed a series of steps to restrain speculative trading in the index derivatives segment amid concerns about an exponential rise in the volumes ...

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Image courtesy of "The Economic Times"

Brokers, SEs face tougher futures and options as Sebi bids to curb ... (The Economic Times)

India's stock brokers are preparing for tougher times as the Securities and Exchange Board of India proposed stricter norms for equity derivatives.

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Image courtesy of "Zee Business हिंदी"

बिन्नी लिमिटेड के खिलाफ SEBI का एक्शन, ₹27.5 करोड़ लगाया जुर्माना ... (Zee Business हिंदी)

स्टॉक मार्केट रेगुलेटर सेबी (SEBI) ने टेस्टाइल, इंजीनियरिंग प्रोडक्ट्स के ट्रेडिंग के बिजनेस से जुड़ी कंपनी बिन्नी लिमिटेड (Binny Ltd) के खिलाफ ...

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Image courtesy of "Moneycontrol.com"

Lessons SEBI should learn from global markets before introducing ... (Moneycontrol.com)

A study by Kotak Institutional Equities points out that similar curbs were introduced in the derivative markets in Korea and China, which adversely affected ...

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Image courtesy of "Economic Times"

Derivative death trap? 78 lakh F&O traders lost Rs 52000 crore in ... (Economic Times)

Two decades ago, Warren Buffett had warned that derivatives are nothing but time bombs, both for the parties that deal in them and the economic system.

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