NSE’s decision to reduce lot size for Nifty 50 contract and two others

Mumbai: The National Stock Exchange (NSE) has decided to halve the lot size of Nifty 50 contracts in derivatives. Along with this, it has also been decided to reduce the lot size of Finnift i.e. Nifty Financial Services and Nifty Mid Cap Select i.e. MidcapNifty from April 26, 2024. Whereas the lot size of Nifty Bank i.e. BankNifty will remain unchanged. As per the decision of NSE, the lot size of Nifty 50 derivative contracts will be reduced from 50 to 25. While the lot size of FinNifty derivative contracts will be reduced from 40 to 25 and the lot size of MidCapNifty will be reduced from 75 to 50.

From April 26, 2024, all Nifty contracts with weekly, monthly, quarterly and half-yearly expiries will be available with this lower lot size. According to the circular, there has been no change in the lot size of contracts expiring on April 25, 2024. From the end of April 25, 2024, all new contracts will be available for trading on April 26, 2024.

Nifty Financial Services expiring on April 30, 2024, May 28, 2024 and June 25, 2024, there is no change in the current monthly expiring lot sizes. The first monthly expiry contract will be replaced by the July 2024 expiry, which will expire on July 30, 2024.

There will be no change in the lot size of the weekly contract till the expiry date of July 23, 2024. The lot size of all weekly contracts maturing from August 2024 onwards will change.

Similarly, there is no change in the market lots of Nifty Midcap Select for the current monthly expiries of April 29, 2024, May 27, 2024 and June 24, 2024.

When the first monthly expiration contract expires on July 29, 2024, the market lot size of the contracts will change. Whereas the market lots of all weekly contracts maturing from August 2024 onwards will change.