BSE relaunches Sensex, Bankex derivatives
New expiry cycle of Friday from Thursday earlier; F&O lot size has been reduced to 10 from 15 for Sensex, and to 15 from 20 in case of Bankex
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Mumbai: BSE on Monday relaunched Sensex and Bankex derivative contracts in its bid to boost derivatives trading on the country’s premier bourse.
The relaunch of derivative contracts comes with a reduced lot size of Futures and Options (F&O) and a new expiry cycle of Friday from Thursday earlier, BSE said. Derivatives are considered to be high-risk-reward financial instruments aimed at hedging risk in the equity market.
BSE had launched Sensex-30 derivatives (F&O) for the first time in 2000. The Sensex-30 derivatives are made up of 30 of the largest and most actively traded companies on BSE.
“We are relaunching two contracts—Sensex and Bankex. Sensex is a well known benchmark and a barometer of India’s economy. It has good performance and a good volatility profile,” BSE Managing Director and CEO Sundararaman Ramamurthy said at the relaunch event on Monday.
