BSE allows F&O trading in RBL Bank, Nalco, 3 others
Leading stock exchange BSE will introduce futures and options contracts in five companies, including RBL Bank and state-run National Aluminium Company (Nalco), from May 26.
Hindustan Construction Company, Kajaria Ceramics, and Ramco Cements are other companies in which futures and options trading has been allowed.
"Trading members are requested to note that futures and options contracts (F&O) for five underlying securities shall be available for trading in the equity derivatives segment with effect from May 26, 2017," the BSE said in a circular on Friday.
On Thursday, the National Stock Exchange (NSE) announced that it would allow F&O contracts in these five companies. Equity derivative's value is at least partly derived from one or more underlying equity securities. Options and futures are by far the most common equity derivative.