SEBI's new move to cut retailers participation in F&O!
- Thread starter headstrong007
- Start date
Are bhai SEBI wants to regulate the market so that it is safe for small traders/investors ..they dont want to finish the market.....so they will allow you to trade either in F & O or in cash market......Govt will be a biggest loser if they kill the market..they wont do it.
We are thinking of all dreaded scenarios....in practice things will be much easy.
Smart_trade
We are thinking of all dreaded scenarios....in practice things will be much easy.
Smart_trade
My personal view is, after discussing the matter with few other experienced traders and one experienced person related with brokerage business,
as there is an only limited risk for BUY OPTION side SEBI can't use notional turnover for exposure calculation. The option is only the price of the premium. It'll be easily challenged in Court. It's difficult to prove such bogus logic in court.
But Intraday & positional option writing leverage and intraday and positional future trading leverage will be reduced drastically. Possibly, Intraday cash leverage will be automatically reduced if linked with ITR or networth.
It's also very hard to implement exposure in the delivery market, based on income/networth too,
bcoz a retired person may not have any income presently and not much liquid net worth too, but a big collection of stocks in his or her portfolio collected for several years.
No one can suddenly tell people to SELL your portfolio of stocks, there is a Court to protect a citizen's right against the implementation of such NONSENSE ideas.
as there is an only limited risk for BUY OPTION side SEBI can't use notional turnover for exposure calculation. The option is only the price of the premium. It'll be easily challenged in Court. It's difficult to prove such bogus logic in court.
But Intraday & positional option writing leverage and intraday and positional future trading leverage will be reduced drastically. Possibly, Intraday cash leverage will be automatically reduced if linked with ITR or networth.
It's also very hard to implement exposure in the delivery market, based on income/networth too,
bcoz a retired person may not have any income presently and not much liquid net worth too, but a big collection of stocks in his or her portfolio collected for several years.
No one can suddenly tell people to SELL your portfolio of stocks, there is a Court to protect a citizen's right against the implementation of such NONSENSE ideas.
Last edited:
My personal view is, after discussing the matter with few other experienced traders and one experienced person related with brokerage business,
as there is an only limited risk for BUY OPTION side SEBI can't use notional turnover for exposure calculation. The option is only the price of the premium. It'll be easily challenged in Court. It's difficult to prove such bogus logic in court.
But Intraday & positional option writing leverage and intraday and positional future trading leverage will be reduced drastically. Possibly, Intraday cash leverage will be automatically reduced if linked with ITR or networth.
It's also very hard to implement exposure in the delivery market, based on income/networth too,
bcoz a retired person may not have any income presently and not much liquid net worth too, but a big collection of stocks in his or her portfolio collected for several years.
No one can suddenly tell people to SELL your portfolio of stocks, there is a Court to protect a citizen's right against the implementation of such NONSENSE ideas.
as there is an only limited risk for BUY OPTION side SEBI can't use notional turnover for exposure calculation. The option is only the price of the premium. It'll be easily challenged in Court. It's difficult to prove such bogus logic in court.
But Intraday & positional option writing leverage and intraday and positional future trading leverage will be reduced drastically. Possibly, Intraday cash leverage will be automatically reduced if linked with ITR or networth.
It's also very hard to implement exposure in the delivery market, based on income/networth too,
bcoz a retired person may not have any income presently and not much liquid net worth too, but a big collection of stocks in his or her portfolio collected for several years.
No one can suddenly tell people to SELL your portfolio of stocks, there is a Court to protect a citizen's right against the implementation of such NONSENSE ideas.
As of now F &O account could be opened by showing 6 months bank statement. So you could have opened an account in your wife's name and hedged against her portfolio. If suppose she has shares worth 20 Lakhs, there is no problem hedging it by 3 nifty contracts. This facility you can get in future also.....there is restriction on excess leverage..not on genuine hedging. The problem is only for people who on a networth of 20 L want to trade with 6-8 or 10 nifty contracts.....the restrictions will restrict the exposure they can take.
Shares acquired by your daughter by way of gift from you or from her own income will not have any restrictions.....Govt is not closing down all equity investments done from legitimate income and without leverage...so investment wont have any problem.
Smart_trade
Shares acquired by your daughter by way of gift from you or from her own income will not have any restrictions.....Govt is not closing down all equity investments done from legitimate income and without leverage...so investment wont have any problem.
Smart_trade
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