Comment on Lot sizes reduced for various NSE F&O Contracts

Nithin Kamath commented on 14 Jul 2015, 07:29 AM

Hi Shashi, The contract value going up was known as SEBI had spoken about it in the press. The positive side is that they increased this to only Rs 5lks and not Rs 10 lks as they had spoken. 75 to 80% of turnover today is in options, this contract value increase shouldn’t make any difference at all. I guess where turnover and hence liquidity can get impacted would be in the stock futures contracts.
Our view is that it is a bad move. This will mean retail taking more risk rather than less.

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