Lot Size of Stock futures

#1
Some of the stock futures like Reliance capital, IFCI, GMR infra cost more than 8 lakhs which is very high for a small retail investor.

What is the criteria for the reduction in lot sizes. i.e.
1. Will it be done when the stock prices reaches a certain limit?
2. Or will it be done periodically(quarterly, annually...)

When is the next reduction in lot sizes expected from the NSE?

Hope stock market gurus throw some light on this :).
 
Last edited:

SavantGarde

Well-Known Member
#2
Reduction & Increase In Lot Sizes Are Done Periodically.

There Are No Stock Futures That Cost Rs.8 Lakhs For Total Margin

Total Margin Inclusive Of Exposure Margin For Monday For The Stocks Are As Follows:

1) Reliance Capital Rs.167935.00
2) IFCI Rs.242375.00
3) GMRINFRA Rs.178465.00


Happy & Safe Trading

SavantGarde

I trade in different stock futures. But due to the recent rally in the stock market, most of the good stocks have become very expensive. It will be really helpful to retail investors if the lot sizes are reduced so that they cost between 2 lakhs and 4 lakhs.

Some of the stock futures like Reliance capital, IFCI, GMR infra cost more than 8 lakhs which is very high for a small retail investor.

What is the criteria for the reduction in lot sizes. i.e.
1. Will it be done when the stock prices reaches a certain limit?
2. Or will it be done periodically(quarterly, annually...)

When is the next reduction in lot sizes expected from the NSE?

Hope stock market gurus throw some light on this :).
 
#3
Thanks for the reply Savant.

Even though the margin amount for the stocks is less than 2lakhs, the actual value of the lot will be more than 8lakhs.
So even if I loose 1% ,it will be 8000 which is very high.

If it is done periodically, can you please tell us the frequency of the activity.

I guess it was last done in March, so when is the next reduction?
 

ranj_2k

Active Member
#4
Thats why it is not adviseable to trade naked future for small investors. You can restrict your losses by taking call options where losses are restricted and known to you. However, Stock Future has unlimited loss.
 

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