SEBI new F&O trading norms: Zerodha to review pricing after November 20, says CEO Nithin Kamath | Stock Market News

In a post on X, Kamath said, “We will then decide on our change in pricing structure, based on the impact on the business.”

He further explained that the changes could affect 60% of overall F&O trades and around 30% of total orders for Zerodha. Key changes include limiting weekly expiries to one per exchange and increasing contract sizes. As a result, the contract size for index F&O will rise from ₹5-10 lakh to ₹15-20 lakhs.

From November 20, exchanges will be allowed to offer weekly expiries for only one benchmark index.

For example, the NSE can choose between Nifty 50 or Bank Nifty, but not both.

All other indices will move to monthly expiries.

Additionally, from February 2025, traders will lose margin benefits on calendar spreads for contracts expiring on expiry day, increasing margin requirements for many.

SEBI has also introduced an Extreme Loss Margin (ELM) of 2% on expiry day to cover risks due to heightened volatility.