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<h1>Derivatives Market Reforms Enhance Trading Transparency and Risk Management Through New Open Interest and Position Limit Rules</h1> The circular outlines comprehensive measures to enhance trading convenience and strengthen risk monitoring in equity derivatives markets. Key provisions include:Reforming Open Interest calculation by introducing Future Equivalent Open Interest (FutEq OI) methodology across futures and options contracts. Implementing new Market Wide Position Limit (MWPL) definitions linked to free float and average daily delivery volumes. Establishing stricter position limits for index options and futures, with specific constraints for different investor categories. Introducing pre-open sessions for derivatives markets and defining eligibility criteria for non-benchmark index derivatives. The regulations aim to improve market transparency, reduce manipulation risks, and provide more robust risk management frameworks for derivatives trading.