New F&O Rules Shake Up Market: 18 Stocks at Risk, Zomato and Jio Fin Among Potential Entrants

The criteria for adding or removing stocks from the derivatives market (F&O segment) have been updated, leading to potential changes in the list of stocks that can be traded in this segment. According to estimates by Nuvama, 18 stocks might be removed from the F&O segment due to these new rules. However, 79 other stocks might be eligible for inclusion, though the final decision lies with the Securities and Exchange Board of India (Sebi).

Some of the stocks that could be removed include Abbott India, Metropolis Health, Gujarat Gas, Can Fin Homes, and United Breweries (UBL), among others. The changes are expected to be reviewed in December 2024, three months after the criteria were issued.

On the other hand, stocks like Zomato, Jio Financial Services, Adani Total Gas, and Yes Bank are among those that might be added to the F&O segment.

The new rules have increased the median quarter sigma order size (MQSOS) requirement from Rs 25 lakh to Rs 75 lakh over the last six months, reflecting the higher average market turnover. Additionally, the market-wide position limit (MWPL) for a stock has been raised from Rs 500 crore to Rs 1,500 crore, considering the significant growth in market capitalization.