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Notices
Notice No20191113-17Notice Date13 Nov 2019
CategorySettlement/RMSSegmentDerivatives
SubjectPosition Limits for Foreign Portfolio Investors – Equity Derivatives
Content

With reference to SEBI Circular IMD/FPI&C/CIR/P/2019/124 on Operational Guidelines for FPIs & DDPs under SEBI (Foreign Portfolio Investors), Regulations 2019 and for Eligible Foreign Investors dated November 05, 2019, the revised position limits for various category of FPIs in stock derivative and index derivatives shall be as under:

Product

FPI Category I

FPI Category II (other than individuals, family offices and corporates)

FPI Category II (individuals, family offices and corporates)

Index Futures

Higher of:

Rs.500 crores

Or

15 % of the total open interest of the market in index futures

Higher of:

Rs.300 crores

Or

10 % of the total open interest of the market in index futures

Higher of:

Rs.100 crores

Or

5 % of the total open interest of the market in index futures

Index Options

Higher of:

Rs.500 crores

Or

15 % of the total open interest of the market in index futures

Higher of:

Rs.300 crores

Or

10 % of the total open interest of the market in index futures

Higher of:

Rs.100 crores

Or

5 % of the total open interest of the market in index futures

Additional Limits for Index derivatives*

a. Short positions in index derivatives (short futures, short calls and long puts) not exceeding (in notional value) the FPI Category (I) holding of stocks.

 

b. Long positions in index derivatives (long futures, long calls and short puts) not exceeding (in notional value) the FPI Category (I) holding of cash, government securities, T-Bills, and similar instruments.

Not Applicable

Not Applicable

Stock Derivatives

20% of the applicable Market Wide Position Limit per Exchange

10% of the applicable Market Wide Position Limit per Exchange

5% of the applicable Market Wide Position Limit per Exchange

* If the open position of an FPI Category (I) exceeds the index futures or options limits, such surplus would be deemed to comprise of short and long positions in the same proportion of the total open positions individually. Such short and long positions in excess of the said limits shall be compared with the FPI Category (I) holding in stocks, cash etc.

 

The above-mentioned revised limits shall be applicable from December 02, 2019.

 

Members are requested to take note of above.

 

In case of any assistance/clarification, please do not hesitate to contact us. 

 

 

For and on behalf of Indian Clearing Corporation Ltd.

 

Piyush Chourasia

Chief Risk Officer & Head - Strategy

Risk Department

Email

risk.iccl@icclindia.com

Contact No:

+91-22-22728759/5820/8811