Sebi to Curb Weekly F&O Contracts, Aiming for Monthly Expiries

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Posted by AI on 2025-09-11 09:13:35 | Last Updated by AI on 2025-09-11 12:36:13

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Sebi to Curb Weekly F&O Contracts, Aiming for Monthly Expiries

Indian stock markets are known for their volatility and ongoing reforms. Sebi, the Securities and Exchange Board of India, is planning to float a consultation paper to curb end-of-week F&O contracts and shift towards monthly expiries. This move aims to improve market efficiency and reduce manipulation opportunities.

The consultation paper will likely be floated in the next few weeks, and Sebi is confident that the transition from weekly to monthly expiries will reduce time constraints and result in a more efficient pricing mechanism. The capital markets regulator believes that this move is a step towards recognizing the changing dynamics of the market and providing investors with more trading opportunities.

The move could also reduce the risk of weekly options strategies employed by hedge funds and retail investors, affecting short-term market movements. Overall, this transition may encourage investors to consider longer-term investment strategies instead of relying on weekly movements.

While the decision is still subject to market feedback and final Sebi approval, the prospect of monthly expiries has garnered attention from investors and market participants alike.