02 Jun 2026, 08:16 AM

Adjustment of F&O contracts of TRENT on account of bonus.

As per the circular, effective from June 04, 2026, the TRENT F&O contracts will be revised based on the bonus adjustment factor.

Calculation of the adjustment factor:

The adjustment factor for a bonus issue of A:B is defined as (A+B)/B. For TRENT, the adjustment factor is (1+2)/2 = 1.5 since the bonus issue ratio is 1:2.

Adjustment for Options Contracts:

Strike Price: The adjusted strike price is calculated by dividing the old strike price by the adjustment factor.

Lot Size: The adjusted lot size is arrived at by multiplying the old market lot by the adjustment factor. The revised lot size would be 150.

For example:

Assume you hold a position in TRENT JUN 4150 CE. The current lot size is 100. On ex-date, the 4150 CE will be adjusted to 2766.67 (Strike Price 4150 / Adjustment Factor 1.5), and the lot size will be adjusted to 150 (Current Lot Size: 100 * Adjustment Factor 1.5).

If the option premium is ₹186 on pre-ex-date, the adjusted premium on ex-date would be ₹124 (Option Premium ₹186 / Adjustment Factor 1.5).

Adjustment for Futures Contracts:

Futures base price: The adjusted futures base price is arrived at by dividing the settlement price of the future one day before the ex-date by the adjustment factor.

Futures lot size: The adjusted market lot will be arrived at by multiplying the old market lot by the adjustment factor. The revised market lot would be 150.

For example:

Assume you are holding a position in TRENT JUN FUT and on pre-ex-date (June 03, 2026), futures close at 4240, on ex-date, the price will be adjusted to 2826.67 (Price on pre-ex-date: 4240 / Adjustment Factor: 1.5)

While the lot size will be adjusted to 150 (Current lot size: 100 * Adjustment Factor: 1.5).

You can learn more about this here.

Please note that as per the exchange circular, the adjusted revised market lot for June expiry will be 150. The adjusted revised market lot for July expiry and subsequent expiries will be 225.