The Bombay Stock Exchange (BSE) on June 29, 2026, issued a notification regarding the update on Pre- Trade Risk Control- Limit Price Protection in Equity Derivatives Segment.
The following has been stated:-
•The exchange has announced that the Price Reasonability Check (PRC) for Single Stock Derivatives will be discontinued from July 06, 2026, and replaced with the Limit Price Protection (LPP) mechanism.
•Under the new framework, the LPP range will be 40% (minimum ₹20) for stock options and 3% (minimum ₹1.50) for stock futures.
•The change will be implemented after a mock trading session on July 04, 2026, to facilitate a smooth transition.
•Market participants are advised to follow the revised mechanism and continue adhering to the Exchange's pre-trade risk control requirements while placing orders.
[Notification No.: 20260629-43]
