The Bombay Stock Exchange (BSE) on May 08, 2026, issued update on the Pre-Trade Risk Control - Limit Price Protection (LPP).
With reference to earlier circulars, the Bombay Stock Exchange has specified Pre-Trade Risk Control – Limit Price Protection (LPP) parameters for BSE FOCUSED IT Futures and Options contracts.
For these contracts, the LPP limits are set at 80% (minimum ₹80) for options and 2% (minimum ₹200) for futures, based on the reference price. Additionally, the LPP range will automatically adjust if a threshold of rejected orders is met—specifically, at least 10 rejections within 120 seconds involving a minimum of 3 trading members and 5 unique client codes.
These parameters will be effective from the contract launch date, May 11, 2026, and will be available for testing during the mock trading session on May 9, 2026. There is no change in the LPP framework for other index derivatives contracts.
[Notice No. 20260508-30]
