Maximum quantity lot of index

F&O
1

What is the maximum quantity of lot I can buy in nifty, banknifty, finnifty, sensex and bankex?

2

how much money do you have?

2 Likes
3

As far as I know, there isn’t a fixed maximum quantity of lots that you can buy for indices like Nifty, Bank Nifty, Nifty Financial Services (Nifty FinNifty), Sensex, and Bankex. The quantity of lots you can buy depends on various factors including the available liquidity, your broker’s policies, the market conditions, and your account size.

Here are a few points to consider:

  1. Liquidity: Highly traded indices like Nifty and Bank Nifty tend to have higher liquidity, meaning there are more buyers and sellers available. This generally allows for larger trade sizes.
  2. Broker Policies: Different brokers may have different policies regarding maximum lot sizes. Some brokers might impose restrictions on the maximum lot size to manage risk and ensure orderly trading.
  3. Account Size and Margin: The amount of margin you have in your trading account will determine how many lots you can buy. Larger accounts can accommodate larger positions.
  4. Market Conditions: During periods of high volatility or low liquidity, brokers might reduce the maximum lot sizes to mitigate risk.
  5. Regulations: Regulatory authorities might also impose certain limits on trading sizes to prevent excessive risk-taking.
  6. Contract Specifications: Each index futures contract might have different specifications regarding lot sizes. It’s important to refer to the contract specifications provided by the respective exchanges.

To get the most accurate and up-to-date information on the maximum lot sizes for these indices, you should check with your broker or the respective exchange where these contracts are traded.

4

@Jayadratha Allow me to correct you, there is. Refer to the following page, it mentions the Quantity Freeze for Nifty futures. Similarly can be found for other contracts. But I guess the best idea would be to put a really big number on Zerodha order form and let it tell you the freeze quantity.

https://www.nseindia.com/products-services/equity-derivatives-nifty50

@Rajesh_j.jamod

5

Thanks for correcting me

6

I do not think he asked about highest lots in one order. Quantity freeze that you are talking about is just for one order.

7

Sorry for the confusion, you’re right the maximum quantity spread across orders is unlimited.

8

@Rajesh_j.jamod - the max qty theoretically per strike is 9000 for banknifty and 18000 for nifty.

Practically you can counter this by having multiple broker accounts. Or select an adjacent strike if the limit has exceeded.

Basically it all depends on how much money you wish to deploy - there is a workaround for anything these days… jugaad

9

Who said this is the limit? One can trade for quantity above this too in single broker account.

10

i got the error, pinky promise :speak_no_evil:

1 Like
11

I didn’t. :rofl::rofl:

12

And even if there was a limit, I don’t think it would be for a particular strike. It would be for nifty as a whole. I am just guessing till we get an answer.

1 Like
13

@nithin

14

The gross open position across all futures and options contracts on a particular underlying security, of each specific client or scheme of MF, should not exceed the higher of:

1% of the free float market capitalization (in terms of number of shares)

or

5% of the open interest in all derivative contracts in the same underlying stock (in terms of number of shares) whichever is higher

The position limits underlying-wise, are available to members on NSE’s [website. You can download it here.

This is the limit set for index positions for 16th August.
image

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15

What happens when a new stock comes to derivatives segment? It has to start with 0 OI right. So whoever takes the first contract will exceed the limits. What’s the rule here?

16

I think this rule was set during the covid times because of increased volatility

Why didn’t the exchange relax the rules till now?

17

No, this rule was followed by NSE for a very long time. During covid time they introduced the 500 crore notional value limit on the short side which they didn’t revise still. We already represented to exchange to take out the limit.

1 Like
18

On the first day of the newly introduced derivative contract, client wise limit will be set to 100 crores or 5% of the total OI whichever is higher.

2 Likes
19

100 crores is pretty generous for most of us

20

You really thought the limits are for us? :joy::rofl: