Description
BSE revises Market Wide Position Limits (MWPL) for Nestle India Ltd derivatives contracts, effective August 8, 2025.
Summary
BSE has revised the Market Wide Position Limits (MWPL) for Nestle India Ltd. stock derivatives contracts. The new limits apply to Stock Brokers, Foreign Portfolio Investors (FPIs), and Mutual Funds, with different position limits based on investor category.
Key Points
- Market Wide Position Limit set at 143,602,548 shares (1% of non-promoter holdings)
- Overall Stock Limit for Trading Members, FII, FPI Category I & MF: 28,720,500 shares (20% of MWPL)
- FPI Category II (non-individuals): 14,360,000 shares (10% of MWPL)
- FPI Category II (individuals, family offices, corporates): 7,180,000 shares (5% of MWPL)
- Scrip Code: 500790, ISIN: INE239A01024
Regulatory Changes
This circular partially modifies the previous circular no. 20231229-46 dated December 29, 2023, and follows up on notice No. 20250731-57 dated July 31, 2025. The revision updates position limits based on current non-promoter holdings.
Compliance Requirements
- All Members/Participants must adhere to the revised position limits
- Stock Brokers, FPIs, and Mutual Funds must ensure their positions comply with category-specific limits
- Risk monitoring systems should be updated to reflect new limits
Important Dates
- Effective Date: August 8, 2025
- Notice Date: August 7, 2025
Impact Assessment
The revision affects institutional trading capacity in Nestle India derivatives. FPIs and mutual funds will need to adjust their position sizes according to the new limits. The differentiated limits for various FPI categories maintain regulatory control while accommodating different investor types.
Impact Justification
Position limit revisions affect trading capacity for institutional investors in a major stock but represent routine risk management adjustments