– Sebi has released consultation papers on F&O with proposals to curb retail speculation
– Implementation could reduce market volumes by 30-40% and earnings of stock exchanges by 15-30%
– Measures may also impact discount brokers
– Some market participants welcome proposals while others warn of severe hit to volumes
– Experts suggest phased implementation to maintain market vibrancy
– Reduction in F&O volumes could lower volatility in Nifty and make market more stable for retail investors
– Measures could promote a healthier trading environment and support sustainable growth in derivatives market
– Proposed changes aim to protect investors from excessive speculation and promote long-term stability
– Sebi chief highlights concerns of annual loss of household savings due to derivatives trading
– Measures expected to rationalize equity derivatives volumes and control exuberance in market