Over 93% retail traders lost money in F&O in 3 yrs: Sebi
Business Standard|September 24, 2024
An analysis by the Securities and Exchange Board of India (Sebi) has revealed that retail traders remain at the wrong end of the stick when it comes to equity derivatives trading.
KH USHBOO TIWARI
Over 93% retail traders lost money in F&O in 3 yrs: Sebi

About 93 per cent of them incurred an average loss of ₹2 lakh (per trader) during the last three financial years.

The new report highlights an increase in the loss-making individual investors in futures and options (F&O) to 91.1 per cent in FY24 compared to 89 per cent in FY22.

The findings hold significance in shaping the market regulator's policy making when it comes to regulating the F&O segment, where daily turnover often exceeds ₹500 trillion.

Sebi has proposed seven key measures aimed at curbing retail participation and speculation in the derivatives market. They are likely to be cleared at its upcoming board meeting during the month-end. Financial regulators, including the Reserve Bank of India (RBI), have cautioned investors against the high risks in the derivatives market.

This story is from the September 24, 2024 edition of Business Standard.

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This story is from the September 24, 2024 edition of Business Standard.

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