 "nse, national stock exchange, stock market, markets")
India's capital market is set to see an overhaul in its activities as the National Stock Exchange (NSE) and the BSE gear up to swap their expiry of their derivatives contracts. Therefore, the Nifty expiry on August 28, 2025, will effectively be the final contracts to expire on a Thursday.
The swap in the expiry dates comes amid the market regulator Securities and Exchange Board of India's (Sebi) aim to reduce retail participation in the space. The Sebi Chairman, Tuhin Kanta Pandey, earlier this month called for greater “quality and balance” in the derivatives market, where trading volumes are disproportionately higher than the underlying cash segment.
What is F&O expiry?
The term 'expiry' simply means the day that the futures and options (F&O) expire or the last day that the contracts are valid. Both NSE and BSE have weekly, monthly, quarterly and half-yearly F&O contracts.
Earlier, the exchanges had multiple weekly F&O contracts via various benchmarks like Nifty 50, Bank Nifty. However, last November, Sebi said exchanges will be allowed to offer weekly expiry F&O contracts for only one benchmark index per exchange. This was done as part of the exchange's drive to reduce retail participation in the segment.
In NSE, weekly expiries for Bank Nifty, Nifty Financial Services, and Nifty Midcap Select were discontinued as they chose the Nifty 50 index. Likewise, BANKEX and Sensex 50 were discontinued by the BSE as it picked the Sensex index.
Also Read
 "markets, stock market, market fall, market down")
 "trading")
 "initial public offerings, IPO")
 "auto components, auto sector")
 "Maruti e-Vitara, Maruti Suzuki")
Current expiry and changes going forward
As things stand now (until the end of August 28), the NSE's Nifty 50 weekly expiry was the Thursday of every week, while the monthly contracts expired at the last thursday of every month. On the BSE, the Sensex index's weekly contracts expire on every Tuesday, while the monthly contracts expire on the last Tuesday of the month.
But this will change going forward into the next month/contracts. Nifty weekly contracts will expire on Tuesday of the week. Nifty monthly, quarterly and half-yearly contracts will end on the last Tuesday of the expiry month. BSE's contracts will end on the Thursdays of the respective weekly and monthly contracts.
Impact on NSE and BSE
With the swap in the expiry dates, analysts had earlier said that the IPO bound-NSE's market share in the index options premium turnover space will rise at the expense of its rival BSE. Now, an option premium is the price at which the option contract is bought or sold, and for exchanges, this is the largest revenue-generating segment.
Goldman Sachs warned that BSE may face a 3 percentage point loss of market share and a 2 per cent cut in FY26 EPS estimate. "This is based on our study of imposing the new expiry days on year-to-date premiums traded as a pro-forma analysis."
Currently (until August 26), BSE gets three working days and NSE gets two working days, and if that reverses, it can potentially impact BSE's volumes, analysts said.
Why the change in expiry dates?
Back in January 2025, BSE moved its index options expiry to Tuesday, while NSE continued with Thursday expiries. This shift helped BSE gain notable traction in index options based on premium turnover, which now looks threatened.
In response, NSE planned to move its expiry to Monday, but it was scrapped as Sebi limited the expiry to either Tuesday or Thursday.
 "stock prices, Nifty Smallcap, stock market, initial public offering, IPO")
 "Anlon Healthcare ipo")
 "stock market trading")
 "Stock market")
 "Indian shrimp sector crisis, US tariffs on shrimp exports, shrimp export losses India, $1 billion shrimp loss, vannamei shrimp exports, 50 count shrimp price drop, farm-gate shrimp prices India, Rs 70/kg shrimp price fall, Indian seafood export impac")
