NSE and BSE Change Derivatives Expiry Days: What You Need to Know
Big Changes Coming on September 1
The National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) are swapping their weekly derivatives expiry days. This change starts on September 1. The Securities and Exchange Board of India (Sebi) has approved this move.
New Expiry Days
- NSE will now have expiries on Tuesdays.
- BSE will shift to Thursdays for expiries.
Why Are They Making This Change?
Sebi wants to make equity derivatives expiries more standard. The aim is to avoid too much activity at the start or end of the trading week. Now, expiries will only happen on Tuesdays or Thursdays.
Official Statements
Both exchanges have confirmed Sebi’s approval:
- NSE said, “Sebi has agreed to our proposed expiry day, which is Tuesday.”
- BSE stated, “Sebi has agreed to our proposed expiry day, which is Thursday.”
How Will This Work?
The new expiry schedule will be for equity derivatives contracts expiring on or after September 1, 2025. Current contracts will keep their existing expiry schedules.
They might also adjust long-dated index options contracts to fit the new expiry format.
What’s Next?
NSE and BSE will provide detailed operational guidelines soon. This will help ensure a smooth transition.
Background Information
This change follows Sebi’s announcement in May about the expiry framework. They first proposed this in March. The idea was to limit expiries to Tuesdays or Thursdays, avoiding Mondays or Fridays.
NSE had earlier planned to move all index and stock derivative expiries to Monday. This was supposed to start on April 4, 2025, but they postponed it.
Any changes to expiry or settlement dates for derivatives contracts need Sebi’s approval first.
