The Bombay Stock Exchange (BSE) on November 28, 2025, notified regarding the Pre-Trade Risk Control – Limit Price Protection in Equity Derivatives Segment.
The following has been stated namely: -
• The Exchange has revised the Limit Price Protection (LPP) framework, setting the new ranges at 40% (minimum ₹20) for Index Options and 2% (minimum ₹200) for Index Futures, effective December 1, 2025, with mock testing available on November 29, 2025.
• Market participants are reminded to follow existing pre-trade risk control guidelines and implement strong risk-management practices.
• The circular reiterates avoiding unrealistic order pricing to prevent order-book distortion and urges reviewing stop-loss settings, MPP limits, and user-level controls to avoid erroneous or disruptive orders.
[Notification no. - 20251128-56]
