Under the futures and options (F&O) segment, eleven stocks were banned from trade on Monday, 18 March by the National Stock Exchange (NSE). The securities banned for the F&O trade are Aditya Birla Fashion, BHEL, Biocon, Hindustan Copper, Manappuram Finance Ltd, National Aluminium, Piramal Enterprises, RBL Bank Limited, Steel Authority of India (SAIL), Tata Chemicals, and Zee Entertainment Enterprise Ltd (ZEEL).

Derivative contracts of these stocks were banned as the open market interest for these securities has crossed 95% of the market-wide position limit (MWPL) set by the exchanges. The MWPL is the maximum number of contracts that can be opened at any particular time.

Zee Entertainment and Manappuram Finance were retained on the list from Friday as the open interest as a percentage of the MWPL of their F&O contracts stood at 84.2% and 81%. National Aluminium’s derivative contracts’ open interest is 83.2% of its MWPL on 18 March, compared to 84.9% for Steel Authority of India, 89.3% for Piramal Enterprises, and 82.2% for Tata Chemicals. Furthermore, Aditya Birla Fashion, BHEL, and RBL Bank were also retained on the list as their open interest is 81.5%, 87.7%, and 88.4%, respectively.

The above securities were retained on the list from Friday, 15 March. Biocon and Hindustan Copper were added to the list on Monday as the open interest of their F&O contracts reached 103.1% and 98%, respectively.

The ban will be lifted once the position falls below 80%. Traders will get penalised for buying or selling these securities. They will be available for trading in the cash market.

The National Stock Exchange updates the list of securities on the F&O ban list daily. This list serves as a guide for traders and investors in the market. Traders who trade in indices do not encounter a situation of security ban.