NIFTY50 lot size has been reduced from 50 to 25

by Psu Connect
Date: 03-04-24

The lot size for NIFTY50 will be revised for the first weekly expiry on 2 May and the first monthly contract with the new lot size will expire on 30 May 2024.

NIFTY50 lot size has been reduced from 50 to 25

The National Stock Exchange (NSE) has recently announced that it will be revising the lot size of derivatives contracts of NIFTY50, NIFTY Financial Services (FINNIFTY), and NIFTY Midcap Select (MIDCP NIFTY) indices. Effective from 26 April 2024, the lot size of NIFTY50 has been reduced from 50 to 25.

Similarly, the lot size of NIFTY Financial Services (FINNIFTY) has been reduced from 40 to 25, while the lot size of NIFTY Midcap Select (MIDCP NIFTY) has been reduced from 75 to 50. However, the lot size of NIFTY BANK remains unchanged at 15.

The NSE (National Stock Exchange) has announced that the revised lot size for the weekly, monthly, quarterly, and half-yearly expiries of the NIFTY50 will come into effect on 26 April. However, there will be no revision to the lot size for the monthly expiry of the April 2024 contracts. The revised lot size for the first weekly expiry will be applicable for contracts expiring on 2 May and the first monthly contract with the new lot size will expire on 30 May 2024.

For the NIFTY Financial Services (FINNIFTY) and NIFTY Midcap Select (MIDCP NIFTY) indices, there will be no revision to the lot size for existing monthly and weekly expirations for April, May and June 2024 contracts. Monthly contracts in the July series of both FINNIFTY and MIDCP NIFTY will have a revised lot size.

In derivative trading, lot size refers to the fixed amount of shares that are traded in a single unit or group. For instance, if the lot size is 25, then only contracts in multiples of 25 can be traded. The determination of lot sizes is based on a stock's price, liquidity, and risk.