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NSE Eyes Tuesday for Weekly Index Derivatives Expiry

23 May 20251 min read
BANKING & FINANCENSE Eyes Tuesdayfor Weekly IndexDerivatives Expiry23 May 2025safalsetu.com

Why in the news

NSE wants weekly index expiry on Tuesday as SEBI weighs allowing only two expiry days a week.

Key facts

  • SEBI’s Secondary Market Advisory Committee discussed restricting weekly expiries to Tuesday and Thursday; Chairman Tuhin Kanta Pandey said the final circular is due soon.
  • NSE earlier dropped a Monday plan; it now prefers Tuesday, the day BSE index options already expire.
  • Rules allow only one benchmark expiry per exchange per week, hurting NSE volumes.
  • Q4FY25 transaction charges dropped 15% quarter-on-quarter; NSE sees no further share loss to BSE.

NSE IPO

  • SEBI is resolving pending issues; clearance may come soon, with no firm date.

Significance

  • Fewer expiry days can calm volatility and balance liquidity between exchanges.
  • An IPO could unlock value and widen participation.

Exam angle

  • SEBI chief: Tuhin Kanta Pandey.

Test yourself

1. To which weekday did NSE propose shifting its weekly index derivatives expiry?

NSE proposed Tuesday, moving away from the current Thursday expiry.

2. How many weekdays would SEBI's proposal allow for expiries?

SEBI's proposal limits expiry days to Tuesdays and Thursdays.

3. Which exchange's index options already expire on Tuesdays, according to the NSE expiry report?

BSE index options already expire on Tuesdays.