Description
NSE Clearing updates the list of ETFs eligible for cross margining with effect from August 29, 2025.
Summary
NSE Clearing Limited has issued a revised list of Exchange Traded Funds (ETFs) eligible for cross margining, effective August 29, 2025. This circular updates the previous list from July 30, 2025, and specifies minimum quantity requirements for each eligible ETF.
Key Points
- 48 ETFs are eligible for cross margining benefits
- Each ETF has specific minimum quantity requirements ranging from 500 to 65,000 units
- List includes major index ETFs like NIFTYBEES, BANKBEES, IT sector ETFs, and sectoral funds
- Cross margining allows offset between cash and derivatives positions
- Previous circular 095/2025 dated July 30, 2025 is superseded
Regulatory Changes
- Updated list of cross margin eligible ETFs with revised minimum quantity requirements
- Effective date: August 29, 2025
- Replaces the earlier list issued on July 30, 2025
Compliance Requirements
- All members must ensure compliance with the revised minimum quantity requirements for cross margining
- Positions must meet the specified minimum quantities in multiples thereof
- Members should update their risk management systems accordingly
Important Dates
- Effective Date: August 29, 2025
- Circular Date: August 26, 2025
- Previous Circular Date: July 30, 2025
Impact Assessment
- Affects derivatives trading strategies utilizing cross margining benefits
- May impact margin requirements for positions in listed ETFs
- Provides clarity on eligible instruments and minimum quantity requirements
- Enables better capital efficiency for market participants trading both cash and derivatives
Impact Justification
Routine update to cross margin eligible ETFs affecting derivatives trading strategies and margin calculations