With an aim to deepen the commodity derivatives markets and enhancing liquidity, markets regulator Sebi today allowed options trading on commodity bourses.
This has been a long pending demands from the exchanges, investors and market participants. So far, only future trading was permitted on commodity bourses.
"It has been decided that commodity derivatives exchanges shall be permitted to introduce trading in 'options'," the Securities and Exchange Board of India (Sebi) said in a circular.
The move become effective from today.
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