Oh the decline could be because there is a 30% decline in derivatives volumes in recent days. This is being attributed to SEBI investigation into the Hedge Funds like Jane Street. A decline of 20-22% is seen in NSE volumes too.
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What’s the source for quoting the 30% decline in volumes?
I checked BSE website and couldn’t find any supporting data for this claim. If possible, could you please present some numbers that show a decline in the BSE derivatives’ volumes.
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It is there on the website. Check Tuesday turnover(3 and 10 June). 50% fall. Tomorrow, more clarity will emerge.
It may have passed or it may persist. We will know in a few weeks.
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negative for BSE limited
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"The shift of NSE’s expiry day from Thursday to Tuesday is expected to help the exchange claw back market share from rival BSE, which had seen a surge in its index derivatives volumes since its previous shift to Tuesday expiry earlier this year. BSE’s share in index options rose to 12.6 per cent from 3.1 per cent a year ago, with premium turnover climbing to around 22 per cent now from 16 per cent in December 2024.
However, Goldman Sachs expects BSE’s market share in premium turnover to drop by 3-4 percentage points with its return to Thursday expiries—down to 18.8 percent from the current 22.2 percent."
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This NSE benefit logic is very flawed. The calculation is that current traders get just 2 days to trade i.e. wed and Thursday for NSE expiry , and the revised Tuesday they will get Friday and Monday and Tuesday so BSE will lose and NSE will gain .
I find this extremely odd. Do traders jump on the band wagon mid week for a weekly expiry . The closer to expiry they are the more is the decay . For option sellers the lower is the premium . Even risk adjusted there is nothing to say that expiry day playing for one more day means there is more volume. I think this is the Hangover of daily expiry and rotation of capital .
Bulk of the market it’s hedging and the rest is speculation. So the hedging folks would like to hedge weekend news . And will likely still do for the 2 days weekend only. The speculation guys will take a call either ways as the Theta / decay gets priced in daily .
Anyway I still think a Monday to Thursday period is more logical, ideally Friday is great but I think BSE must have calculated for decades the traders have been used to Thursday, and will have exisiting strategies that they can execute on BSE now . I think after the noise goes BSE will show that numbers have not changed . More importantly the FPI FII need to move to BSE , and single Contract for CASH needs better implementation
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Reposting with corrections, earlier post got docked for putting AI content as is 
will take of that part going forward.
BSE got docked 
by SEBI in a order yday. SEBI says BSE gave “Selective Access to Corporate Announcements”, and “Lack of Simultaneous Disclosure Mechanism”. They also shared the System Architecture by BSE. There definitely seems to be a gap in different categories of users getting data, just by looking at system Architecture. Maybe its fault of the system designers, but then truth is not all users/stakeholders are getting information at same time.
- LCM Users get first access from DB2
- DB2A/B gets data next. There is a Leased Line DB that PULLs data and PUSHes to paid subscribers. Other subscribers get the data only when they PULL using a webservice.
Overall (being a ex-technology/enterprise architect who has designed such systems before), the system architecture does not meet the business need i.e. All users/stakeholders should get the information at the same time. A Event bus - PUB/SUB or simple RSS framework would be more transparent.
Penalty: Rs.25 Lakh (15lakh for above mentioned reason). Seems SEBI might have acknowledged this was oversight on the technology side.
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