
Trading in options contracts fell 51.5% and futures volumes dropped nearly 18% in FY26 after Sebi tightened rules for the derivatives market, The Times of India reports. The measures included larger contract…
Trading in options contracts fell 51.5% and futures volumes dropped nearly 18% in FY26 after Sebi tightened rules for the derivatives market, The Times of India reports. The measures included larger contract sizes, fewer weekly expiries, mandatory upfront premium collection and a higher securities transaction tax. Options grew in premium and notional terms, while futures declined on both measures.
Sebi’s annual report also recorded a record net outflow of more than Rs 1.5 lakh crore by foreign portfolio investors. They sold Rs 1.8 lakh crore of equities and bought Rs 25,807 crore of debt. FPIs bought Rs 70,822 crore through primary markets but sold over Rs 2.5 lakh crore in secondary markets. India led globally in IPO numbers and ranked third by funds raised.
The easy claim that stricter rules have killed India’s markets is too broad. Lower contract counts may reflect less speculative churn, while higher options premium and notional turnover show that activity has not vanished. The opposite claim, that regulation has solved retail risk, is also premature. The useful test is whether investor losses and complaint levels fall without pushing trading into less transparent products. Sebi’s next data on retail participation should settle that better than volume alone.
Source: timesofindia.indiatimes.com
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