The Securities and Exchange Board of India has proposed new measures in a move to increase investor protection and market stability in the booming derivatives market, including mandating the upfront collection of options premiums from buyers by trading members and clearing members. At present, there is no explicit requirement for upfront collection of options premiums from buyers, although margins are collected for futures positions and short options positions. The market regulator is also mulling to revise the minimum contract size for index derivatives contract in a phased manner. The minimum value of derivatives contract at the time of introduction is proposed to be between Rs 15 lakh to Rs 20 lakh. After six months, the minimum value will be between Rs 20 lakh to Rs 30 lakh.
#sebi #f&o #stockmarket
#sebi #f&o #stockmarket
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