Description

BSE revises the expiry and maturity date for equity derivative contracts from March 26, 2026 to March 25, 2026, effective in contract master files from December 23, 2025.

Summary

BSE has announced a change in the expiry date and maturity date for equity derivative contracts scheduled for March 2026. The date has been revised from March 26, 2026 to March 25, 2026 (one day earlier). This change is consequent to the trading holidays announced for 2026 via notice dated December 12, 2025. The revised dates will be reflected in the end-of-day contract master files starting December 23, 2025.

Key Points

  • Original expiry and maturity date: March 26, 2026
  • Revised expiry and maturity date: March 25, 2026
  • Change applies to all equity derivative contracts expiring in March 2026
  • Modification linked to Exchange’s 2026 trading holiday calendar
  • Contract master files will be updated from December 23, 2025
  • Trading members must note this change for operational and settlement purposes

Regulatory Changes

This circular modifies the contract specifications for March 2026 equity derivative contracts. The change is administrative in nature, adjusting the expiry and maturity timeline by one day to align with the revised trading calendar for 2026. All equity derivative contracts (futures and options) with March 2026 expiry will be affected.

Compliance Requirements

  • Trading Members: Must update their internal systems and trading platforms to reflect the revised expiry date of March 25, 2026
  • Risk Management Systems: Ensure all risk management and position monitoring systems are updated with the new contract specifications
  • Client Communication: Inform clients trading in March 2026 equity derivatives about the revised expiry date
  • Settlement Teams: Update settlement schedules and processes to accommodate the revised maturity date
  • Technology Teams: Verify that trading and back-office systems correctly reflect the updated contract master files from December 23, 2025

Important Dates

  • December 19, 2025: Notice issued
  • December 23, 2025: Revised contract specifications to be included in end-of-day contract master files
  • March 25, 2026: New expiry and maturity date for March 2026 equity derivative contracts (revised from March 26, 2026)

Impact Assessment

Market Impact: Medium. All market participants trading equity derivatives expiring in March 2026 will need to adjust their trading strategies, position management, and expiry-related plans by one day. This includes retail traders, institutional investors, arbitrageurs, and hedgers.

Operational Impact: Trading members must ensure their systems are updated to reflect the new expiry date. Any automated trading strategies or expiry-based algorithms need recalibration. Settlement and clearing operations must be adjusted accordingly.

Risk Management Impact: Risk management systems and margin calculations for March 2026 contracts need to be updated. Position limits and expiry-day volatility management strategies may require adjustment.

Advance Notice: The change is being announced approximately three months in advance, providing adequate time for system updates and operational adjustments.

Impact Justification

Medium importance as it affects all equity derivative contracts expiring in March 2026. Traders and market participants need to adjust their strategies and systems accordingly. Not high severity as it's a one-day adjustment with advance notice.