Sebi) has raised the position limit — restrictions put in place on the maximum holdings — for trading members in the equity derivatives segment.
The overall position limits for client and proprietary trades, in index futures and options contracts will be set at ₹7,500 crore or 15% of the total open interest or outstanding positions in the market, Sebi said in a circular on Tuesday. This would come into effect immediately.
The limit was earlier set at ₹500 crore or 15% of the total open interest in the market.
«By increasing the position limit to ₹7,500 crore or 15% of the open interest, Sebi wants to bring it in line with the current Nifty levels,» said Vijay Kanchar, a professor of finance and a derivatives specialist. «The earlier limit was introduced almost two decades ago when Nifty was trading much lower.»
The position limits will be applicable for index futures and index options separately, it said.
Stock Trading
Dow Theory Made Easy
By — Vishal Mehta, Independent Systematic Trader
Stock Trading
ROC Made Easy: Master Course for ROC Stock Indicator
By — Souradeep Dey, Equity and Commodity Trader, Trainer
Stock Trading
Technical Analysis Made Easy: Online Certification Course
By — Souradeep Dey, Equity and Commodity Trader, Trainer
Stock Trading
Commodity Markets Made Easy: Commodity Trading Course
By — elearnmarkets, Financial Education by StockEdge
Stock Trading
Futures Trading Made Easy: Future & Options Trading Course
By — Anirudh Saraf, Founder- Saraf A & Associates, Chartered Accountant
Stock Trading
Options