BSE pips NSE in F&O segment for almost the first time

The combined turnover on India's bourses, in both the cash and F&O segments, touched an all-time high of Rs6.86 lakh crore on Tuesday, a day that was also marked by benchmark indices gaining over 1 per cent.

The record turnover was aided by a sharp surge in F&O volumes on the Bombay Stock Exchange. At Rs3.36 lakh crore, the turnover in BSE's F&O segment exceeded that of the National Stock Exchange F&O segment, which is surprising considering that the NSE's F&O segment typically corners more than 75 per cent of the combined derivatives turnover on any given day.

On Tuesday, put options of 24,400 and 24,600, trading at a premium of Rs3.80 and Rs5.45 together accounted for Rs3.13 lakh crore of turnover. On Tuesday, the cash turnover on NSE stood at Rs17,564.33 crore, while the cash turnover on BSE stood at Rs3,608.48 crore.

Yogesh Radke, the head of quantitative research at Edelweiss said BSE's Liquidity Enhancement Incentive (LEIPS) programme, may have triggered the surge in the turnover on BSE F&O segment.

The Securities & Exchange Board of India had granted permission to stock exchanges in June 2011 to introduce liquidity enhancement schemes (LES) to improve liquidity of illiquid scrip by offering incentives to market makers (MMs) and general market participants (GMPs). The LEIPS-S&P BSE SENSEX-Futures and the LEIPS- S&P BSE SENSEX Options programme were launched on 30 May 2014.