Stock Market Today: NSE (National Stock Exchange of India Ltd) in its circular dated 23 April 2024 has said that it is not considering to impose transaction charges for Futures and Options contracts on Nifty Next 50 Index that was to be applicable since launch on April 24,2024.
The Futures and Options contracts on Nifty Next 50 Index are set to start from April 24'2024
“In order to encourage active participants in Futures and Options contracts on Nifty Next 50 Index, it has been decided that no transaction charges will be levied on the trades done in Futures and Options contracts on Nifty Next 50 Index (NIFTYNXT50) in Future & Options segment from April 24, 2024 (product launch date) till October 31, 2024” said the National Stock Exchange of India Ltd (NSE) in its circular.
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Post an approval received from markets regulator Securities and Exchange Board of India (Sebi), the Exchange had announced the introduction of trading in Futures and Options contracts on Nifty Next 50 Index in Future & Options segment with effect from April 24, 2024.
The Nifty Next 50 index reflects 50 companies from the Nifty 100 after removing the Nifty 50 firms.
The exchange would provide three consecutive monthly index futures and index options contract cycles under the terms of the derivative contract. The final Friday of the expiry month would mark the expiration of the cash-settled derivatives contracts.
As on March 29, 2024, as per the NSE release dated 18, April 2024, “the market capitalization of index constituents stands at ₹70 trillion representing about 18% of total market capital of the stocks listed on NSE as on March 29, 2024. The aggregate daily average turnover of index constituents stood at ₹9,560 crores accounting for around 12% of cash market turnover in FY24”.