Position limits in derivatives: market-wide limits tied to free-float holdings and participant caps relative to open interest. Re-introduction rules require stocks dropped from derivatives trading to satisfy full eligibility for three consecutive months before exchanges may reintroduce contracts; first-time introductions still need regulator approval. Market wide position limits for single stock derivatives are linked to free-float market capitalisation and set as a proportion of non-promoter holdings, applying to aggregate open positions across futures and options. Participant position limits for trading members, FIIs and mutual funds in index derivatives are set by a floor amount or a proportion of total market open interest, with existing hedging provisions retained.
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Provisions expressly mentioned in the judgment/order text.
Position limits in derivatives: market-wide limits tied to free-float holdings and participant caps relative to open interest.
Re-introduction rules require stocks dropped from derivatives trading to satisfy full eligibility for three consecutive months before exchanges may reintroduce contracts; first-time introductions still need regulator approval. Market wide position limits for single stock derivatives are linked to free-float market capitalisation and set as a proportion of non-promoter holdings, applying to aggregate open positions across futures and options. Participant position limits for trading members, FIIs and mutual funds in index derivatives are set by a floor amount or a proportion of total market open interest, with existing hedging provisions retained.
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