In a welcome announcement for Futures & Options (F&O) traders, Securities and Exchange Board of India (SEBI) Chief Tuhin Kanta Pandey has stated that the regulator is not considering any new restrictions or changes to expiry rules, alleviating fears following the Budget 2026-27 proposal to hike Securities Transaction Tax (STT) on derivatives.
Pandey clarified that SEBI has no plans to introduce additional curbs on derivatives trading and will maintain the current framework. He emphasized that the existing regulations, including weekly expiry schedules, will remain unchanged.
Addressing concerns about weekly expiry dates, Pandey confirmed, “At this point of time, we are not contemplating any measures and whatever framework that we have put in place, that will continue.” Currently, the weekly expiry for Nifty 50, Bank Nifty, Fin Nifty, and Sensex options is set for Thursday, Wednesday, Tuesday, and Friday, respectively.
This reassurance comes amid ongoing efforts by SEBI over the past year to curb speculative trading in derivatives, which, according to the regulator’s findings, has resulted in approximately 97% of retail traders incurring losses.
Relief Amid Budget Proposals
The relief follows the Budget 2026-27’s announcement to increase STT on derivatives starting April 2026, aiming to curb excessive speculation. Under the new rules, STT on equity futures will rise from 0.02% to 0.05%, while equity options will attract a uniform 0.15% STT on both buy and sell sides—up from 0.1% and 0.125%, respectively.
Importantly, the government has maintained the existing STT rates for equity delivery and intraday cash trades, keeping delivery trades at 0.1% and intraday cash trades at 0.025%, providing some relief to long-term investors and retail traders in the cash segment.
SEBI’s chief reassurance has provided a boost of confidence to traders concerned about potential restrictions amid evolving regulatory and fiscal policies.
