Description

BSE updates strike price interval and number of strikes for S&P BSE SENSEX Long Dated Options contracts effective December 26, 2025.

Summary

BSE has issued an update regarding strike prices for S&P BSE SENSEX Long Dated Options contracts. Effective December 26, 2025, the strike price interval will be set at 1000 points with 5 In-The-Money (ITM), 1 At-The-Money (ATM), and 5 Out-of-The-Money (OTM) strikes available. This notice supersedes previous circulars issued on this subject dating back to December 2020.

Key Points

  • Strike price interval: 1000 points
  • Number of strikes: 5-1-5 (ITM-ATM-OTM structure)
  • Effective date: December 26, 2025
  • Applies to S&P BSE SENSEX Long Dated Options contracts only
  • References multiple previous notices from 2020 to 2025 on the same subject

Regulatory Changes

This circular updates the strike price configuration for SENSEX Long Dated Options. The standardized structure provides 11 total strike prices (5 ITM + 1 ATM + 5 OTM) with intervals of 1000 points between each strike. This represents a continuation of the exchange’s periodic review of derivatives trading parameters.

Compliance Requirements

Trading members must:

  • Note the new strike price structure effective December 26, 2025
  • Contact their respective Relationship Managers for any clarifications
  • Update their trading systems and client communication as needed

Important Dates

  • Notice Date: December 24, 2025
  • Effective Date: December 26, 2025

Impact Assessment

This is a technical adjustment to derivatives trading parameters with minimal market impact. The change affects only traders using SENSEX Long Dated Options contracts and does not impact underlying equity markets. The standardized strike price structure aims to provide adequate trading opportunities across different price levels while maintaining market efficiency. Trading members should update their systems and inform clients who actively trade these instruments.

Impact Justification

Routine operational update on strike price intervals for SENSEX long dated options. Does not affect underlying securities or introduce new compliance requirements. Only impacts derivatives traders using these specific contracts.