HDFC AMC, Adani Gas, Aarti Industries, Pfizer, and Abbott India are some of the stocks that are all set to enter the F&O segment (Futures and Options) in the forthcoming announcement. ICICI Direct listed out 11 stocks that qualify for F&O inclusion on the basis of the eligibility of stocks for inclusion in the derivatives segment which is derived from the criteria laid down by the Securities and Exchange Board of India through various circulars issued from time to time. So far this year, the National Stock Exchange has added SBI Life Insurance and three other stocks to the F&O segment.
Stocks that were picked by ICICI Direct include Aarti Industries, a stock that is up 11% year to date; Abbott India, up 20% since January; Adani gas, up 28% in the same time frame. ICICI Direct has also picked HDFC AMC for inclusion. HDFC AMC share price has surged 50% in the last one month. Other stocks include ICICI General Insurance, IPCA Labs, L&T infotech, Pfizer, PI Industries, and Trent. With a jump in pharma shares in the last few months, the list carved out by ICICI Direct includes 3 pharmaceutical firms. HDFC AMC is the only financial stock to have been picked, while Adani gas remains the only player from the oil and gas industry.
For stocks to be included in the Futures and Options segment, SEBI says, the stock shall be chosen from among the top 500 stocks in terms of average daily market capitalisation and average daily traded value in the previous six months on a rolling basis. Additionally, the stock’s median quarter-sigma order size over the last six months shall not be less than Rs 25 lakh. “For this purpose, a stock’s quarter-sigma order size shall mean the order size (in value terms) required to cause a change in the stock price equal to one-quarter of a standard deviation,” ICICI Direct said.
SEBI also requires that the market-wide position limit in the stock shall not be less than Rs 500 crore on a rolling basis. “Average daily delivery value in the cash market shall not be less than Rs 10 crore in the previous six months on a rolling basis. The average daily deliverable value shall be computed taking deliverable quantity as per client level as computed by NSE Clearing Ltd on a daily basis and close price of the trade date,” the noted added.