Derivative death trap? 78 lakh F&O traders lost Rs 52,000 crore in FY24, shows Sebi data

Derivative death trap? 78 lakh F&O traders lost Rs 52,000 crore in FY24, shows Sebi data

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. And now Sebi data has proved the ‘God of stocks’ right once again. In FY24, 92.50 lakh individuals and proprietorship firms traded in index derivatives segment of NSE and … Read more

Households losing Rs 60,000 cr a year on derivative bets: Buch

Households losing Rs 60,000 cr a year on derivative bets: Buch

Sebi chairperson Madhabi Puri Buch on Tuesday said households are losing up to Rs 60,000 crore a year in the problematic futures and options segment. Speaking at an event at the largest equity bourse NSE, Buch wondered why such bets in the derivative markets should not be called as a “macro issue”, as it had … Read more

Sebi: Sebi approves stricter norms for inclusion of individual stocks for derivative trading

Sebi: Sebi approves stricter norms for inclusion of individual stocks for derivative trading

Mumbai: The board of Sebi on Thursday approved a proposal to tighten rules on the inclusion of stocks in the futures and options(F&O) segment and approved introduction of fixed price for taking a company private. The revision will lead to addition and deletion of about two dozen stocks. “In order to ensure that there is … Read more

Sebi: Sebi weighs tighter checks for stocks at F&O entry gate

Sebi: Sebi weighs tighter checks for stocks at F&O entry gate

Mumbai: The Securities and Exchange Board of India (Sebi) will consider a proposal to tighten rules on the inclusion of stocks in the derivatives segment at its board meeting on June 27. This will be one of the main points of discussion, said a person close to the development, as the capital market regulator looks … Read more

India’s $6 trillion derivatives frenzy has government worried

India’s  trillion derivatives frenzy has government worried

The surge in Indian equity derivatives that’s driven up volumes to the highest in the world is spurring concern among the nation’s policymakers that the frenzy may hurt efforts to harness household savings for productive purposes. Finance Minister Nirmala Sitharaman and Chief Economic Advisor V. Anantha Nageswaran sounded caution in recent days about growing retail … Read more

domestic government bonds: 4 banks to move home regulators for extension of ESMA deadline

domestic government bonds: 4 banks to move home regulators for extension of ESMA deadline

Mumbai: Four foreign banks which face a hurdle in trading domestic government bonds and derivatives due to a European regulator’s derecognition of an Indian clearing house are likely to approach their home regulators for an extension of the deadline to transact with the local clearing body, said people with knowledge of the matter. They said … Read more

RBI: Banks must play bigger role in rupee derivatives: RBI

RBI: Banks must play bigger role in rupee derivatives: RBI

Mumbai: Indian lenders must play a larger role in global derivatives and work to ensure that smaller retail players do not pay more for access to foreign exchange products, central bank governor Shaktikanta Das said Wednesday, underscoring the need for local banks to reflect the country’s rising economic status and emerge as market makers. “Participation … Read more

Is the stock market open on Good Friday today?

Is the stock market open on Good Friday today?

Equity markets will remain closed on Friday on account of Good Friday, according to the market holiday calendar of BSE. Accordingly, all the segments including, the equity segment, derivative segment, and SLB segment will be closed today. The Multi-Commodity Exchange (MCX) will also be closed for both morning and afternoon sessions. Equity markets will remain … Read more

Futures vs Options: Understanding the differences and choosing the right derivative instrument

Futures vs Options: Understanding the differences and choosing the right derivative instrument

Futures and options are two fancy terms used in financial markets that are becoming quite famous in the investor community. Online trading applications have helped new-age investors and traders participate in Futures and Options trading as per their requirements. Few novice investors and traders are curious and willing to explore this segment without understanding the … Read more

RBI: ESMA likely to seek board help to resolve stalemate with RBI

RBI: ESMA likely to seek board help to resolve stalemate with RBI

Mumbai: The European Securities and Markets Authority (ESMA) may approach its board to seek ways to resolve a regulatory stalemate with the Reserve Bank of India (RBI) which poses roadblocks to billions of dollars of bond and derivatives trade by European banks in India, said people familiar with the matter. The developments come at a … Read more