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BSE Gets SEBI Nod to Launch Sensex Next 30 Derivatives

The Bombay Stock Exchange has received regulatory approval from SEBI to launch futures and options contracts on its Sensex Next 30 index. This index tracks the next largest and most liquid companies within the BSE 100 that are not part of the flagship Sensex 30. The launch is part of BSE's broader expansion, which recently included introducing new government securities indices. Concurrently, the exchange has also decided to remove several specific stocks from its derivatives segment starting in 2026.

Key Points: SEBI Approves BSE Sensex Next 30 Derivatives Launch

  • SEBI approves new derivatives
  • Tracks next 30 largest liquid stocks
  • Expands BSE's index product suite
  • Part of broader market development
2 min read

BSE gets SEBI nod to launch derivatives on Sensex Next 30 index

BSE receives SEBI approval for derivatives on Sensex Next 30 index, expanding India's market offerings for investors and traders.

"will introduce cash-settled monthly index futures and monthly index options on the new index - BSE Notice"

Mumbai, March 4

The Bombay Stock Exchange has received approval from the Securities and Exchange Board of India to launch derivatives contracts on the BSE Sensex Next 30 index.

The exchange shared the update in a notice on Wednesday, saying it will introduce cash-settled monthly index futures and monthly index options on the new index.

The Sensex Next 30 index will track the next largest and most liquid companies within the BSE 100 that are part of the derivatives segment but are not included in the Sensex 30 index.

The contracts will have their expiry on the last Thursday of the expiry month. However, the exchange has not yet announced the official launch date for trading.

At present, the BSE offers futures and options contracts on the Sensex with weekly and monthly expiries.

It also provides derivatives contracts on Sensex 50 and BANKEX, both of which have monthly expiries.

Last month, BSE Index Services, a subsidiary of the exchange, launched two new government securities indices.

These include the BSE 4-8 Year G-Sec Index and the BSE 8-13 Year G-Sec Index. The indices are designed to help investors run passive investment strategies such as exchange-traded funds and index funds.

They can also be used as benchmarks for portfolio management services, mutual fund schemes, and other fund portfolios.

According to the exchange, the two G-Sec indices are rebalanced every month and aim to track the performance of the top three most liquid government securities in their respective maturity categories, each with a minimum outstanding issuance of more than Rs 7,500 crore.

The exchange said the addition of these indices will give investors access to a wider range of market opportunities.

Meanwhile, the BSE has also made changes to its equity derivatives segment. It recently decided to exclude Housing & Urban Development Corp., Piramal Pharma Ltd., Tata Technologies Ltd., and Torrent Power Ltd. from the derivatives segment.

The futures and options contracts for these stocks will be discontinued from trading starting May 4, 2026, and no new expiry contracts will be introduced, the exchange informed trading members in a notice.

- IANS

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Reader Comments

P
Priya S
More derivatives products are always welcome, but I hope SEBI and the exchanges also focus on educating retail investors. Many jump into F&O without understanding the risks. The new G-Sec indices for passive investing sound more my style.
R
Rohit P
Good to see BSE expanding its offerings and trying to compete with NSE. Healthy competition is good for the market. The removal of those four stocks from F&O in 2026 is interesting though – wonder what the liquidity criteria will be for the Next 30.
S
Sarah B
As someone who tracks the Indian markets from abroad, this provides a clearer benchmark for the "mid-large" cap segment. The monthly expiry for these contracts aligns with global standards. The G-Sec index launches last month were also a smart move for fixed-income investors.
K
Karthik V
Derivatives on the Next 30 index is a double-edged sword. It will provide hedging opportunities for portfolios heavy on these stocks, which is good. But it might also increase speculative trading in these companies. Hope the margins are set appropriately by the exchange.
N
Nisha Z
Finally! I've been waiting for more index options beyond just Sensex and Bank Nifty. This allows for better sector-agnostic strategies. The monthly expiry on the last Thursday is standard, but I wish they'd consider weekly expiries later for more flexibility.

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