The Securities and Exchange Board of India (SEBI) is set to float a consultation paper within a month to consider ending weekly futures and options (F&O) contracts, CNBC-TV18 reported citing sources.
According to the report, the market regulator is planning a transition towards monthly contract expiries with a defined glide path. SEBI may also explore the possibility of introducing a same-day expiry across all stock exchanges to bring uniformity.
The SEBI board is expected to be briefed on proposals related to longer derivative tenures at its meeting scheduled for September 12, the report said.
Consultations with stock exchanges are likely to begin as early as next week, sources added.
If implemented, the move could significantly alter the F&O trading landscape, which has seen a sharp surge in volumes over the past few years, especially in weekly expiries.
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