Description

IRCTC derivatives contracts will be discontinued from trading effective February 27, 2026, with existing contracts expiring on their respective dates through February 26, 2026.

Summary

BSE has announced the exclusion of all Futures and Options contracts of Indian Railway Catering & Tourism Corporation Ltd (IRCTC) from the Equity Derivatives Segment effective February 27, 2026. This action follows SEBI Circular SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/116 dated August 30, 2024 regarding stock eligibility criteria for derivatives. No new expiry month contracts will be generated for IRCTC.

Key Points

  • IRCTC (Scrip Code: 542830, Derivatives Asset Code: IRCT) will be removed from equity derivatives trading
  • Discontinuation effective from February 27, 2026
  • No new expiry month contracts will be generated for IRCTC
  • Existing unexpired contracts will continue until their scheduled expiry dates
  • Decision based on review of eligibility criteria for stocks in derivatives segment

Regulatory Changes

This exclusion is implemented pursuant to:

  • SEBI Circular Ref. No: SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/116 dated August 30, 2024 on eligibility criteria of stocks
  • BSE Notice No 20240902-3 dated September 02, 2024 regarding review of eligibility criteria for entry/exit of stocks in derivatives segment

Compliance Requirements

  • Trading members must ensure clients are informed about the discontinuation
  • Traders holding IRCTC derivative positions must plan exit strategies before contract expiry
  • No new positions can be initiated in IRCTC derivatives after the last available contract month
  • All open positions must be squared off or will be settled as per existing contract terms on respective expiry dates

Important Dates

  • December 24, 2025: Expiry of December 2025 contracts
  • January 29, 2026: Expiry of January 2026 contracts
  • February 26, 2026: Expiry of final February 2026 contracts
  • February 27, 2026: Complete discontinuation - no IRCTC derivative contracts available for trading

Impact Assessment

Market Impact: High - Complete removal of derivative instruments for a popular stock affects traders’ ability to hedge positions or take speculative positions in IRCTC. Traders with long-term derivative strategies involving IRCTC will need to unwind positions or seek alternative instruments.

Operational Impact: Trading members need to communicate this change to clients actively trading IRCTC derivatives. Risk management systems may need updates to prevent new contract generation. Liquidity in existing IRCTC derivative contracts may be affected as the discontinuation date approaches.

Impact Justification

Complete discontinuation of F&O contracts for IRCTC affects all derivative traders holding or trading these contracts, requiring position unwinding before February 27, 2026