– SEBI has proposed measures to curb speculative trading in index derivatives segment
– Measures aim at enhancing investor protection and promoting market stability
– Proposed steps include increasing minimum contract size, upfront collection of option premium, intraday monitoring of position limits, rationalization of weekly index products, removal of calendar spread benefit, rationalization of options strikes, increase in margin near contract expiry
– Finance Minister proposed to double Securities Transaction Tax on F&O of securities
– 92.50 lakh individuals incurred trading loss in NSE index derivatives segment in FY 2023-24
– Market participants welcome proposed measures to curb irrational exuberance of retail investors.