Indian Railway Catering and Tourism Corporation (IRCTC), National Aluminum Company Limited (NALCO), Canara Bank, Punjab National Bank (PNB), Indiabulls Housing Finance, Sun TV and Steel Authority of India (SAIL) are among the nine stocks. Securities that have been banned for trading in Futures and Options (F&O) as of Tuesday, October 12, 2021, National Stock Exchange (NSE).
While two new stocks, Bank of Baroda (BoB) and Bharat Heavy Electricals Limited (BHEL) have been added by the stock exchange to the F&O restriction stock list for today. According to NSE, these securities have been banned under the F&O segment as they have crossed 95% of the market-wide position limit (MWPL).
“It is hereby informed that all the clients/members shall trade in derivative contracts of the said security only to reduce their position by way of offsetting positions,” the stock exchange said. “Any increase in open positions will attract appropriate penalty and disciplinary action,” the NSE added.
NSE said the derivative contracts in the mentioned securities have crossed 95% of the market-wide position limits and are therefore currently placed in the ban period by the stock exchange.
No fresh positions are allowed for any F&O contract in that particular stock under the F&O restriction period. The MWPL (market-wide position limit) is set by the stock exchanges, which is the maximum number of contracts that can open at any given time (open interest), therefore, F&O contracts for that stock enter a restriction period if the open interest MWPL exceeded 95%.
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