The NSE Clearing Limited (NCL), on December 03, 2025, issued a circular implementing the risk-management framework mandated under Point 5.6 of SEBI’s circular dated May 29, 2025, relating to the introduction of a pre-open session for equity derivatives. This measure aims to enhance trading convenience while strengthening risk controls in the Futures & Options (F&O) segment across both single-stock and index derivatives.
Under the new framework, all incoming orders during the pre-open session will undergo order-level margin checks for SPAN and ELM based on applicable risk parameters and the maximum possible execution price. The sufficiency of margins will be assessed by combining the margins applicable to the client’s incoming orders and their existing portfolio positions at the clearing-member level. Orders will be accepted into the pre-open session only if margin sufficiency is established, and no netting of offsetting orders will be permitted.
Additionally, margin benefits from calendar spreads or cross-margining will not apply during the pre-open session. For offsetting pre-open orders at the same client-contract level, the higher of SPAN+ELM on either the long or short side will be considered for margin computation. These measures become effective December 08, 2025, and members are advised to ensure compliance.
[Circular Ref. No. 0158/2025]
