SAMCO: Breaking New Ground in FnO Trading with Advanced Tools
Mumbai, Maharashtra, India: Futures and Options (F&O) trading in India has long been the predominant domain of institutional investors and seasoned traders. But now, it's capturing the interest of retail investors as well.
Data from the Securities and Exchange Board of India (SEBI) reveals that the number of retail traders in the F&O segment grew from a mere 7.1 lakhs in FY19 to a whopping 45.2 lakhs in FY22 — reflecting a surge of over 500%.
This shift, driven by the perception that F&O trading is a lucrative avenue for high returns, is compounded by the ease of access through digital trading platforms.
However, while the rising participation of retail traders in the F&O segment may seem like good news, they mask a concerning reality: a substantial portion of these traders are incurring losses.
Nilesh Sharma, Executive Director & President of SAMCO Securities, shares some insights on the fundamental problem for F&O traders in India.
“Unlike traditional equity investments, F&O trading involves complex financial instruments that come with inherently high risks. The allure of quick profits often overshadows the reality of the potential financial risks involved. This has led to a situation where a large number of individual traders find themselves on the losing side of their trades, struggling to navigate the volatile and intricate world of F&O markets.
At SAMCO Securities, we recognise the critical need for empowering traders, especially in such a high-stakes market. To address this, we have committed to making essential tools like options Greeks, TradingView charts, and post-trade analytics through My Trade Story readily accessible to our clients on their mobile devices."
Nilesh’s concerns are backed by solid numbers
