He believes that as global uncertainty and stress increases, the need for investors and institutional participants in the derivatives market for risk management increases. He also indicated that F&O volumes may see further degrowth after the tax hike in April. However, he clarified that the rules made to curb betting will continue in future also,…
The latest amendment by the Reserve Bank of India to bank lending norms hits a critical cog: cheap leverage. The RBI has barred banks from deploying depositor money to fund proprietary trading and has mandated stricter collateral rules for capital market intermediaries (CMIs), including brokers and exchanges. This comes on top of the government’s upcoming…
In the budget, STT on futures has been increased from 0.02 percent to 0.05 percent. highlights STT on futures has been increased from 0.02 percent to 0.05 percent. STT on options has been increased from 0.1 percent to 0.15 percent. Due to this announcement of the Finance Minister in the budget, there was a decline…
With the Union budget for FY27 just about there, trading patterns in the derivatives market suggest that foreign investors are bracing for either a correction or a long spell of post-budget calm. Foreign portfolio investors (FPIs), who have prevailed over bullish retail investors by shorting the Indian markets since October 2024, are running into the…
In addition to shorting Nifty and Bank Nifty futures, FPIs have begun selling Nifty and Bank Nifty call options in the past six months to gain from a fall in the indices, exchange data shows. A sale of a call involves the seller earning a premium from a buyer. If the market falls or stays…
