A list of four stocks/securities have been put under the futures and options (F&O) ban for trade by the National Stock Exchange (NSE) on Wednesday, September 29, 2021. These securities are banned under the F&O segment as they have crossed 95% of the market-wide position limit (MWPL), as per the NSE.
The four stocks under NSE's F&O ban list are Vodafone Idea, Zee Entertainment Enterprises (ZEEL), Sun TV and Steel Authority of India (SAIL). Indian Railway Catering and Tourism Corporation (IRCTC), that was under the list from the past few sessions is out of the ban for today. Punjab National Bank (PNB), Indiabulls Housing Finance, Escorts, Canara Bank are also not part of the banned list for Wednesday.
The derivative contracts in the mentioned securities have crossed 95% of the market-wide position limit and are therefore have been currently put in the ban period by the stock exchange.
“It is hereby informed that all clients/members shall trade in the derivative contracts of said security only to decrease their positions through offsetting positions," the stock exchange said. "Any increase in open positions shall attract appropriate penal and disciplinary action," NSE added.
No fresh positions are allowed for any of the F&O contracts in that particular stock when it is under the F&O ban period. The MWPL (market-wide position limit) is set by the stock exchanges, which is the maximum number of contracts that can be open at any time (Open Interest), therefore, the F&O contracts of that stock enter a ban period if the open interest crosses 95% of the MWPL.
