Description

ICCL introduces base position reporting at proprietary/constituent level for stocks under ban, enabling enhanced risk monitoring in equity derivatives effective January 5, 2026.

Summary

Indian Clearing Corporation Limited (ICCL) has introduced a new reporting mechanism providing trading members with detailed base position information at proprietary and constituent levels for stocks placed under ban. This circular partially modifies earlier ICCL Circular no: 20251128-6 dated November 28, 2025, and implements measures outlined in SEBI circular SEBI/HO/MRD/TPD-1/P/CIR/2025/79 regarding enhanced trading convenience and risk monitoring in equity derivatives.

Key Points

  • Trading members will receive base position details for stocks in ban at proprietary/constituent level
  • File accessible via path: Home > FNO > Transaction > Month-YYYY > DD-MM-YYYY
  • File nomenclature: BASEPOSITION_TM_MEMBERID_DDMMYYYY
  • Base positions applicable for next day trading
  • Covers both stock options (SO) and stock futures (SF)
  • File includes detailed fields: Date, CM/Member/Client IDs, contract details, expiry dates, strike prices, option types, and base positions

Regulatory Changes

This circular implements SEBI’s directive (ref: SEBI/HO/MRD/TPD-1/P/CIR/2025/79 dated May 29, 2025) for enhancing trading convenience and strengthening risk monitoring in equity derivatives. It partially modifies the previous ICCL Circular no: 20251128-6 dated November 28, 2025, by providing granular position-level reporting for banned stocks.

Compliance Requirements

  • Trading members must access and review base position files daily through the FNO portal
  • Members should monitor positions at UCC code level for stocks under ban
  • File format includes comprehensive data fields covering clearing member ID, trading member ID, client ID, series details, contract specifications, and base positions
  • Members must utilize this information for effective risk management and compliance with position limits

Important Dates

  • Circular Date: January 1, 2026
  • Effective Date: January 5, 2026
  • Reference Circulars: SEBI circular dated May 29, 2025; ICCL circular dated May 30, 2025; ICCL circular dated November 28, 2025

Impact Assessment

Operational Impact: Medium - Trading members gain enhanced visibility into client-level positions for banned stocks, improving risk monitoring capabilities. The structured file format enables systematic tracking of stock options and futures positions.

Market Impact: Low to Medium - Strengthens risk management framework for equity derivatives by providing granular position data. May help prevent excessive concentration in banned stocks and improve overall market stability.

Technical Impact: Members need to integrate new file downloads into daily operational workflows and potentially update internal systems to consume the BASEPOSITION file format with 16 specified fields.

Impact Justification

Operational enhancement for risk monitoring affecting trading members dealing with banned stocks in F&O segment. Improves transparency but does not change trading rules.