NSE is planning to move weekly F&O to move to Tuesday as Sebi limits the settlements days

Copyright © HT Digital Streams Limit all rights reserved. If NSE shifts the weekly expiry of Nifty options to Tuesday, it could have a major impact on the BSE unless it shifts its own expiry to Thursday. (Reuters) Summary The regulator has asked stock exchanges to submit their proposed expiry day by June 15 to Sebi. The struggle for market share between the National Stock Exchange (NSE) and BSE Ltd will be strengthened after the market regulator has formalized the expected changes in the weekly expiry of the index. Read also | Mutual fund content in NSE-listed firms for the first time direct retail any stock exchange can launch a single weekly expiry contract on Tuesday or Thursday, according to the Monday turning letter from the Securities and Exchange Board of India (Sebi). “Now that the circular has been issued, NSE wants to move its Nifty Weekly options to Tuesday of Thursday,” said a person who is aware of the development. “A request for this is made to the regulator. ‘If NSE moves the weekly expiry of Nifty options to Tuesday, it could have a major impact on the BSE unless it shifts its own expiry to Thursday. Read also | NSE’s public listing is closer than ever, as Sebi’s no objection probably moved to Tuesday of Friday in weekly Senex dissertation to Tuesday of Friday to draw more traction to the contract. This change was made in January this year after Sebi ordered exchanges to offer only one weekly options contract – rather than several weekly expiry – to go on the retail expiration date. Inquiries were sent to the NSE by e -mail about the proposed shift in its weekly expiry day and the BSE on its possible strategy remained unanswered until per -time. While Sebi has sharpened norms for weekly decay, Sebi allowed exchanges to choose one day for all their weekly, monthly, quarterly and semi -annual options. Read also | Mint Explainer: Understanding NSE’s new Retail -Algo framework and what it means to traders, NSE has planned to move all its option falls to Monday from April 4. But in anticipation of Sebi’s regulatory circular, they maintained the status quo and retained the expiry of weekly options Thursday. Now that the circular has finally been issued, NSE is expected to formally request that Sebi shift its expiry to Tuesday. A post was sent to Sebi on Monday and a formal letter for the shift is expected to be sent to Sebi on Tuesday, the person quoted above. A person who is aware of the position of BSE said that the exchange would “discuss” the matter with the regulator as NSE “indeed” decide to shift his expiration. BSE-listed shares can respond on Tuesday, as the volumes of BSE over three-day Friday, Monday and Tuesday, are distributed under the existing date of every Tuesday-Friday, Monday and Tuesday. It will be compressed for up to two days if BSE is moved to Thursday, in which case it would only spread on Wednesday and Thursday. While a shift to Thursday could reduce the volumes of BSE in favor of NSE, an award to NSE could increase its market share in index options by about 5%, the person quoted earlier said with reference to the NSE letter to Sebi for a shift in expiration. Whether the regulator approves the NSE’s shift is a matter of demand. The NSE’s stock options share (index and stocks) based on premium turnover has shrunk in FY25 to 87.4% from 96.9% in FY24, with BSE capturing the rest through its Sensex options. The SEBI turnover also specifies that all other stock-derived benchmarks for benchmarks, non-Benchmark index-derivatives and one-time futures/options have at least a one-month and will expire in the last week of the month, on the chosen Tuesday or Thursday. It also requires exchanges to ask Sebi beforehand before changing their expiry day in the future. Exchanges were asked to submit their proposed expiry day to Sebi by June 15, 2025, and implement the necessary changes to their systems and ordinances with the cleaning of corporations, to adopt the new framework. Catch all the business news, market news, news reports and latest news updates on Live Mint. Download the Mint News app to get daily market updates. More Topics #nse #market #markets #national Stock Exchange #Bse #Bse Ltd #F&O Read next story