Shares of India's capital market stocks took a hit on Friday after the market regulator barred US-based quant firm Jane Street from accessing the domestic securities market for allegedly manipulating the markets.
To be sure, the direct impact was felt by Jane Street’s local trading partner, Nuvama Wealth Management Ltd., whose shares plunged as much as 6.7 per cent, the worst since May 5 this year.
Other stocks that saw a sentimental impact were BSE and Angel One, although different triggers also impacted the stocks. BSE's counter fell as much as 6.1 per cent, while Angel One's scrip plunged 7.3 per cent on Friday. Shares of listed depository CDSL fell over 2 per cent during the session.
As of 10:00 AM, the counters of Nuvama Wealth and Angel One were down 4.7 per cent and 5.5 per cent, respectively. BSE shares were lower by 3.9 per cent, compared to a 0.02 per cent decline in the benchmark Nifty50 index. Track LIVE Stock Market Updates Here
Sebi bans Jane Street after alleged illegal gain
The Securities and Exchange Board of India barred Jane Street from accessing the domestic securities market for allegedly manipulating the markets. In an interim order, Sebi has also directed the high-frequency trading outfit to disgorge ₹4,844 crore made “unlawfully”.
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Jane Street’s modus operandi included building aggressive positions in the options segment and then influencing the price in the underlying stock market, where volumes tend to be relatively low, according to Sebi.
The Sebi investigation found that Jane Street accounted for a significant portion of the net buying in the 12 Bank Nifty component stocks and their futures. The “burst of buying” was intended to influence the price of these securities, which in turn allowed the firm to put on significantly larger and profitable positions in the highly liquid index options segment.
As per the Sebi order, between January 2023 and March 2025, Jane Street earned ₹44,358 crore in options, lost ₹7,208 crore in stock futures, lost ₹191 crore in index futures, and another ₹288 crore in cash, pocketing an overall gain of ₹36,671 crore during this period.
Angel One F&O option premium turnover falls
Angel One reported a year-on-year decline in its futures and options (F&O) segment based on option premium turnover for the quarter ended June 2025 (Q1 FY26). The F&O option premium turnover fell 17.8 per cent to ₹13,500 crore, compared to ₹16,400 crore in the same period last year (Q1 FY25).
The decline highlights moderation in the derivatives volumes after Sebi's action to curb retail frenzy.
However, overall option premium turnover, which includes all segments, rose 40.0 per cent year-on-year (Y-o-Y) to ₹1,048 crore, reflecting increased interest in non-F&O segments and broader market hedging.
Angel One also saw a notable slowdown in trading activity during the June 2025 quarter (Q1 FY26), as key operational metrics declined year-on-year. The total number of orders executed on the platform fell 25.8 per cent to 343.11 million, while the average daily orders dropped 27.0 per cent to 5.62 million.
Additionally, gross client acquisition declined sharply by 40 per cent Y-o-Y, with the company adding 1.45 million new clients during the quarter.