SEBI’s New Mandate: Weekly Derivative Expiry Contracts Now Limited to Benchmark Indices

In a move that reshapes the derivatives market, SEBI has announced changes effective November 20, 2024, limiting weekly expiry derivatives to only benchmark indices. This directive is expected to streamline trading activity and focus liquidity on key indices. Let’s explore the specifics of this change and its impact:

What’s New?

 Starting November 20, 2024:

• NSE will restrict weekly expiry options to the Nifty 50 Index.
• BSE will restrict weekly expiry options to the Sensex Index.

This adjustment means that weekly options for other indices will no longer be offered on exchanges.

Discontinued Weekly Contracts:

Below is a list of indices where weekly expiry options will no longer be available, along with their respective last trading dates:

Key Takeaway: Monthly Options Remain Unchanged

The discontinuation of weekly expiry contracts does not affect monthly contracts. Traders can continue to access monthly expiry derivatives for all indices, ensuring stability for long-term strategies.