Expiry Swap: BSE F&O Expiry Shifts To Thursday After NSE Gets Tuesday Nod
The SEBI has agreed to the expiry day proposed by the BSE as Thursday.
The BSE on Tuesday announced the expiry day for its futures and options contracts will shift from Tuesday to Thursday.
"SEBI has agreed to the Expiry Day proposed by BSE (i.e. Thursday)," BSE said in a circular.
According to a notice issued by BSE on June 17, the exchange has received SEBI’s nod for the proposed change after submitting its recommendations and operational plans. The new schedule will apply to all new equity derivatives contracts that expire on or after Sept. 1, 2025. Monthly contracts will specifically expire on the last Thursday of each month.
However, for contracts already introduced, there will be no change in the expiry day. An exception has been made for long-dated index options, where the expiry may be realigned by exchanges based on existing practices.
Until Aug. 31, 2025, newly introduced contracts will continue to follow the existing Tuesday expiry. Additionally, BSE has been directed not to launch any new weekly contracts on index futures starting July 1, 2025.
A detailed circular outlining operational modalities for the transition is expected to be issued soon.
In May, the capital markets regulator introduced new regulations for equity derivatives, mandating that all such contracts must now expire exclusively on either a Tuesday or a Thursday.
Each exchange was permitted to select one of these days for the weekly expiry of its benchmark index options contract. Furthermore, exchanges were required to obtain prior approval from SEBI before making any changes to their chosen expiry day.
The regulator had sought the preference from stock exchanges on which expiry day they wish to follow by June 15.
The SEBI had floated a consultation paper in March and discussed the feedback with its Secondary Market Advisory Committee.
