Risk Disclosures on Derivatives
Risk Disclosure regarding Equity Futures and Options (F&O) Segment
As per SEBI circular dated May 30, 2023:
- 9 out of 10 individual traders in equity Futures and Options Segment, incurred net losses.
- On an average, loss makers registered net trading loss close to ₹ 50,000.
- Over and above the net trading losses incurred, loss makers expended an additional 28% of net trading losses as transaction costs.
- Those making net trading profits, incurred between 15% to 50% of such profits as transaction cost.
Source: SEBI study dated January 25, 2023 on "Analysis of Profit and Loss of Individual Traders dealing in equity Futures and Options (F&O) Segment", wherein Aggregate Level findings are based on annual Profit/Loss data of individual traders for FY 21-22.
Standard Risk Disclosure
Investment in Securities Market is subject to market risks, read all the related documents carefully before investing.
The client is requested to carefully read and understand the Risk Disclosure Document and the Rights and Obligations of Stock Brokers, Sub-brokers and Clients as prescribed by SEBI and Stock Exchanges.