Description
NSE Clearing Limited announces adjustment of F&O contracts in BANKBARODA due to a dividend of Rs. 8.50/-, effective June 04-05, 2026. Futures carry-forward prices and options strike prices will be reduced by the dividend amount.
Summary
NSE Clearing Limited (NCL), pursuant to NSE Circular No. 63/2026 dated May 12, 2026, has announced adjustments to Futures and Options contracts in BANK OF BARODA (BANKBARODA) on account of a declared dividend of Rs. 8.50/- per share. Adjustments will be applied on the last cum-dividend date of June 04, 2026, with the ex-dividend date being June 05, 2026.
Key Points
- Dividend amount triggering adjustment: Rs. 8.50/- per share
- Last cum-dividend date: June 04, 2026
- Ex-dividend date: June 05, 2026
- All open futures positions in BANKBARODA will be marked-to-market on June 04, 2026 and carried forward at the daily settlement price less Rs. 8.50/-
- All cum-dividend options strike prices will be reduced by Rs. 8.50/- on the ex-dividend date, adjusted to the nearest tick size
- Existing positions will automatically migrate to the new adjusted strike prices
- Begin-of-day margins on June 05, 2026 will be computed on adjusted carry-forward values
Regulatory Changes
This circular operationalises the adjustment framework under NSE Circular No. 63/2026 (Download No. NSE/FAOP/74178) dated May 12, 2026. The clearing corporation will perform the following mechanical adjustments:
- Futures: Daily mark-to-market settlement price of each BANKBARODA futures contract on June 04, 2026 will be reduced by Rs. 8.50/- to derive the adjusted carry-forward price.
- Options: All cum-dividend strike prices across all expiries will be reduced by Rs. 8.50/- (adjusted to nearest tick size) to arrive at new strike prices effective June 05, 2026.
Compliance Requirements
- Members must note the adjusted carry-forward prices for futures positions from June 05, 2026 onwards.
- Members must update their risk systems to reflect new adjusted strike prices for options positions from June 05, 2026.
- No manual action is required from members for position migration — the clearing corporation will automatically map existing positions to the new adjusted strike prices.
- Intra-day margins from June 05, 2026 will revert to normal computation based on traded prices at the time span risk parameter files are generated.
Important Dates
| Event | Date |
|---|---|
| Circular issued | May 13, 2026 |
| Last cum-dividend date (adjustment reference date) | June 04, 2026 |
| Ex-dividend date (adjusted prices effective) | June 05, 2026 |
Impact Assessment
Futures Contracts: Open long and short positions will be carried forward at reduced prices. Example: a position valued at Rs. 260.00/- per share will be carried forward at Rs. 251.50/- (Rs. 260.00 − Rs. 8.50), with long position value adjusting from Rs. 7,60,500 to Rs. 7,35,637.50 for a 2,925-share lot.
Options Contracts: Strike prices across all expiries will shift downward by Rs. 8.50/-. Example: a CE contract with strike Rs. 260.00 (Jun-2026 expiry) moves to Rs. 251.50; a PE contract with strike Rs. 262.50 (Jul-2026 expiry) moves to Rs. 254.00.
Market Impact: This is a routine corporate action adjustment and does not alter the economic value of positions. Members with open BANKBARODA F&O positions should ensure their back-office and risk systems correctly reflect the adjusted prices post June 05, 2026 to avoid erroneous margin calls or P&L discrepancies.
Impact Justification
Standard dividend-driven F&O contract adjustment for a major public sector bank; affects all members holding open positions in BANKBARODA futures and options contracts but follows established regulatory procedure.