BSE Gains SEBI Nod for Thursday Expiry on Derivatives

The BSE stock exchange has obtained approval from SEBI for Thursday as the designated expiry day for equity derivatives contracts. This decision follows SEBI's initiative to standardize expiry days across exchanges to optimize scheduling. Exchanges must consult SEBI before altering contract expiries.

In a significant development for the financial markets, the Bombay Stock Exchange (BSE) has secured approval from the Securities and Exchange Board of India (SEBI) to set Thursday as the official expiry day for equity derivatives contracts.

The change comes as part of SEBI's recent directive to streamline the expiry process across all exchanges, ensuring that expiries occur either on Tuesdays or Thursdays. The move aims to create consistent spacing between expiries and to avoid using the first or last day of the week for contract expiration.

SEBI has further mandated that exchanges must seek approval before launching or modifying any contract's expiry or settlement dates, underscoring the regulatory body's commitment to enhancing market stability and efficiency.

(With inputs from agencies.)