Description
NSE announces discontinuation of new F&O contract months for IRCTC effective February 25, 2026, with existing contracts to continue until expiry.
Summary
NSE has announced the exclusion of Futures and Options contracts on Indian Railway Catering and Tourism Corporation Limited (IRCTC) based on SEBI eligibility criteria. No new contract months will be issued after existing contracts expire. The existing unexpired contracts for December 2025, January 2026, and February 2026 will continue trading until their respective expiry dates. After February 25, 2026, no F&O contracts will be available for trading in IRCTC.
Key Points
- New F&O contract months will not be issued for IRCTC upon expiry of existing contracts
- Existing contracts for December 2025, January 2026, and February 2026 will continue trading until expiry
- New strikes will continue to be introduced in existing contract months
- Complete exclusion of IRCTC from F&O segment effective February 25, 2026
- Decision based on SEBI Circular SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/116 dated August 30, 2024 regarding stock eligibility criteria
Regulatory Changes
This action is taken in accordance with SEBI’s circular on eligibility criteria for stocks in the derivatives segment. IRCTC no longer meets the criteria required to maintain F&O contracts, resulting in its exclusion from the derivatives segment.
Compliance Requirements
- Members must note that no new expiry month contracts will be available for IRCTC
- Traders holding positions in existing contracts must plan exit strategies before respective expiry dates
- Market participants should prepare for absence of IRCTC derivatives after February 25, 2026
Important Dates
- December 22, 2025: Circular issued
- December 2025: Existing December contract expiry
- January 2026: Existing January contract expiry
- February 2026: Existing February contract expiry
- February 25, 2026: Complete exclusion effective date - no F&O contracts available for trading
Impact Assessment
Market Impact: High - IRCTC traders and institutional investors using F&O for hedging or speculation will need to close positions or roll them forward before final expiry. The stock will only be available for trading in the cash segment after February 25, 2026.
Operational Impact: Derivatives market participants must adjust their trading strategies for IRCTC. Liquidity in existing contracts may be affected as expiry approaches. Hedgers will need alternative risk management strategies for IRCTC exposure.
Impact Justification
Complete exclusion of F&O contracts for IRCTC impacts traders and hedgers using derivatives. High severity due to permanent removal from derivatives segment.