Big Relief For F&O Traders: SEBI Not Considering New Curbs, Says Chief Tuhin Kanta Pandey

The market regulator has indicated that no additional curbs are being considered for the futures and options (F&O) segment at this stage, offering relief to traders who were concerned about further tightening of rules.
SEBI chief Tuhin Kanta Pandey said the existing framework will continue and there are no proposals under discussion to introduce fresh restrictions or alter contract structures.

“At this point of time, we are not contemplating any measures and whatever framework that we have put in place, that will continue,” Pandey said while speaking to the media.

No Change In Weekly Expiry

Pandey also clarified that there will be no change in the current weekly expiry structure. At present, weekly expiries are spread across indices.

• Nifty 50 expires on Tuesdays.
• Bank Nifty expires on last Tuesday of the month.
• Fin Nifty expires on the last Tuesday of the month.
• Sensex expires on Thursdays.

Maintaining the status quo removes uncertainty for active traders and brokers who plan strategies around expiry-day volumes.

Relief After Budget Tax Hike

The reassurance comes soon after the Union Budget 2026-27 proposed a higher securities transaction tax (STT) on derivatives, which had already raised concerns about rising trading costs.

From April 1, 2026:

• STT on equity futures will increase to 0.05% from 0.02%.
• STT on options premium and exercise will rise to 0.15% from 0.1% and 0.125%.

The higher tax is aimed at curbing excessive speculation in derivatives, especially retail participation in short-term trading. However, the absence of new operational restrictions from SEBI reduces the risk of a double impact on the segment.

Regulator’s Earlier Measures Still In Place

Over the past year, the regulator has introduced multiple safeguards to moderate speculative activity in F&O.
These include tighter risk controls and margin-related measures, after internal findings suggested that nearly 97% of retail traders incurred losses in derivatives trading. With no fresh curbs planned, the current rules are expected to remain unchanged for now.

Cash Segment Unaffected

Importantly, STT rates for cash equity trades remain the same.

• Equity delivery transactions continue to attract 0.1%.
• Intraday cash trades remain at 0.025%.

This keeps long-term investors and delivery-based traders largely insulated from the recent changes.

What It Means For Traders

For F&O participants, the message is clear. Transaction costs will rise due to higher STT, but trading rules, expiries, and product structures remain stable. This policy clarity may help brokers and traders plan strategies with better visibility, at least in the near term.