Stocks are being removed from F&O

Why stocks are being removed from F&O by exchange?


Is it possible that multicaps of NIFTY ie TCS, hdfc, reliance etc can also be removed from f&o in upcoming future?
Is it possible to ban F&O completely in India?
If yes then how to secure our portfolio?

Highly unlikely that giants like Reliance, TCS, HDFC, etc. will be removed as they have good volumes and liquidity. The reason these 9 were removed was because they were traded in low volumes and were illiquid, leaving room for price manipulation which affects long term investors and retail traders. I hope more such stocks are removed from F&O.

@Shivam_Gupta @newbietrader : Reliance infrastructure ltd and Reliance capital ltd too included in this list as per nse circular no 41692 dated 23 July 20-19.