Is there a way to find out the total market turnover in the exchanges and how much the top brokers contributed to the trading turnover?
Check this link on Moneycontrol.
Total turnover is around 6.5lk crore. Exchanges declare only one side turnover data. This is because 1 share Buy from Broker A and 1 sell from Broker B will count as only one transaction on the exchange. So the actual turnover if you would combine all brokerage firms would be twice this.
At first glance, the cash/equity turnover seems to be just 5% of the total overall turnover. But there is an issue, most of the mainstream media usually tout the notional turnover for options. This, in turn, makes this number seem artificially big.
If you buy 1 lot of Nifty call at Rs 50 and sell at Rs 50, you would have generated premium turnover of Rs 7500 ( 75x50+75x50), but the notional turnover of this trade would be > Rs 15lks ( 75x (10800(strike price)+50) + 75x (10800(strike price)+50)). NSE declares the actual premium turnover and you can check it here
Premium turnover of Rs 2800 crores vs notional turnover of 5.5lk crores for Jan 15th.
If you now add up the numbers that Moneycontrol has shared for Jan 15th, it will be around 65000 crores for derivatives and around 30000 crores for stock/equity (50%).
Coming to your questions on how much do top brokers contribute, this isn’t public information. If you look at NSE market pulse
You can see that 40 to 50% of total turnover contribution comes from retail clients (others category) based on the instrument. So all retail brokerage firms turnover will be a portion of this.
Whats is PRO here?
Proprietary - essentially members/brokers of the exchange. There are many big traders who have their own membership on the exchange.
Equity derivative % of DII is just 0.46
Wondering how they hedge their position?
This is trading volume data and not open interest. You can potentially have large open interest and still not show up on this list. DII/AMC’s are allowed to only hedge, so their trading turnovers are bound to be quite less.
Check this link from NSE on OI by participants for 15th Jan
18% of short contracts is from DII. More on short because they can only hedge.
Are FII allowed to trade/speculate on derivatives?Also what is difference in corporate category from other categories.
Yep FII’s are allowed.
All institutions which aren’t DII or FII are corporates. Almost all big corporates have a treasury desk which would be trading on the exchanges in some form or the other.
I always learn something new reading @nithin 's posts !
@nithin I was searching the process for individual NSE membership https://www.nseindia.com/membership/content/fees_depst_n_net_req.htm
Deposit for individual member is 75 L for eq derivatives. Networth should be 100 L and some other one time and annual charges.
What are the other/hidden costs for individual. Are the process smooth. What difficulties they face while registering and trading after registration.
Can check this.