NSE tightens trading margins for derivatives segment under new framework

Under the new framework, derivatives market participants will have to provide margins 300% higher than the normal applicable amount, if the MWPL for a security is high

NSE, NSE new logo, NSE headquarter,
BS Reporter Mumbai
1 min read Last Updated : Apr 25 2019 | 1:09 AM IST
The National Stock Exchange (NSE) on Wednesday increased trading margins for the derivatives segment. 

“In a joint meeting of exchanges and the Securities and Exchange Board of India, it has been decided that the markets should be altered at different levels of MWPL,” the NSE said in a circular. 

MWPL refers to ‘market wide position limit’. 

Under the new framework, derivatives market participants will have to provide margins 300 per cent higher than the normal applicable amount, if the MWPL for a security is high.

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