Now Reading: SEBI study: 9 of 10 individual F&O traders lost money in FY26
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SEBI study: 9 of 10 individual F&O traders lost money in FY26
Nine out of ten individual traders in the equity derivatives segment lost money in FY26, according to a study by the Securities and Exchange Board of India. The regulator said 87.7% of…
Nine out of ten individual traders in the equity derivatives segment lost money in FY26, according to a study by the Securities and Exchange Board of India. The regulator said 87.7% of individual traders incurred losses, with aggregate net losses of Rs 91,685 crore, down from Rs 1.12 lakh crore in FY25. Options trading accounted for 92% of the losses. The number of active individual traders fell 20% to 78.6 lakh from 98.1 lakh.
The Hindu Business Line reports that the retail F&O market is getting younger: traders below 30 made up 43% of individual F&O traders in FY26, up from 31% in FY22. Traders below 40 held 29% of the equity portfolio but generated over half of derivatives turnover. Those below 30 turned over 93 times the value of their equity portfolios, while those aged 30-40 lost Rs 36,642 crore, the biggest share of aggregate losses at 41%. Times Now notes that average loss per trader rose slightly to Rs 1.17 lakh, and transaction costs for the year were Rs 25,000 crore.
Indian Opinion Analysis
Both outlets report SEBI's data accurately but frame it differently. Times Now leads with the headline loss figure and the regulator's caution, while The Hindu Business Line foregrounds the demographic shift towards younger traders. The difference matters: Times Now's framing implies a static risk warning, whereas The Hindu Business Line shows the problem deepening as less wealthy, younger participants take on disproportionate risk. Neither outlet questions SEBI's methodology or the efficacy of its recent tightening. A careful reader should note that aggregate losses fell mainly because fewer people traded, not because individual outcomes improved. The next data point to watch is whether SEBI's new F&O rules, effective from November 2024, further reduce participation or change loss patterns.
Coverage: 2 sources, 2 neutral
Sources (2): timesnownews.com (neutral report), thehindubusinessline.com (neutral report)
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
