The National Stock Exchange (NSE) recently issued a circular on March 28, outlining significant revisions in the market lot sizes of derivative contracts for numerous individual stocks. These changes are part of routine adjustments aligned with SEBI guidelines, aiming to enhance market dynamics and trading efficiency.
Key Highlights of the Circular
1] Revision in Lot Sizes:
The derivative lot size for 42 stocks will decrease, effective April 26, for expiries in May 2024 and beyond. Notable stocks impacted include Adani Ports, Bharti Airtel, BHEL, SBI, and Larsen & Toubro.
Lot sizes of 128 stocks remain unchanged, including prominent companies like Apollo Hospitals, Bajaj Finance, Asian Paints, and Adani Enterprises.
Lot sizes for six stocks, such as Zee Entertainment, Polycab India, Navin Flourine, Dalmia Bharat, Bandhan Bank, and Atul, have been increased effective April 26 for expiries in July 2024 and beyond.
Conversely, lot sizes for 6 stocks will be decreased, including Tata Motors, Bajaj Auto, Power Finance Corporation, Grasim Industries, Godrej Properties, and Tata Power, from April 26 for expiries in July 2024 and beyond.
2] Small and Medium Enterprise (SME) Segment:
Lot sizes have been lowered for 75 actively traded stocks in the SME segment while remaining unchanged for 216 other stocks.
Biannual reviews are conducted for lot sizes of currently active securities on the SME platform.
Adjustments in lot size for SME segment stocks will be effective from April 29, 2024.
3] Standardized Lot Size for IPOs and SME Stocks:
The exchange has established a standardized lot size for initial public offers (IPOs) launched on the Emerge platform and SME stocks traded in the secondary market.
These revisions align trading mechanisms with market dynamics and regulatory standards, ensuring smoother operations and enhanced participation across various segments. Traders and investors are advised to stay updated to make informed decisions in the derivatives market.
The Lot Size of the following stocks have been reduced by half:
The Lot Size of the following stocks have been increased:
The Lot Size of the following stocks have been reduced:
The URL to acquire the NSE circular is given below:
https://nsearchives.nseindia.com/content/circulars/FAOP61369.zip
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