Leading stock exchanges BSE and NSE will drop realty major Unitech from the futures and options segment from July 29.
However, the existing contracts for May, June and July will continue to be available for trading till their respective expiry and new option strikes will also be introduced in the existing contract months.
In two separate circulars, the exchanges said no contracts will be available for trading in the above mentioned security with effect from July 29, 2016.
At present, there are over 200 securities available in the F&O segment for trade.
In July 2015, Sebi had made a steep hike in the minimum investment size for any equity derivative product to Rs 5 lakh from Rs 2 lakh. Besides, the minimum lot size of an equity derivative contract increased to Rs 5 lakh.
A derivative is a security derived from a debt instrument, share, loan, whether secured or unsecured or any other form of security. It also derives its value from the prices, or index of prices, of underlying securities.
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