Education Series on Derivative Contracts
earlier in Futures, option contracts are standardised products as far
as minimum value, market lot, expiry dates etc are concerned. Like
Futures contracts, the minimum value per contract has been fixed at
Rs.2 lakhs as recommended by SEBI and the market lots are designed so
as to maintain the above stated minimum value. Hence, option contracts
on Nifty are available in the lots of 200 units and its multiples
while the Sensex is being traded in 50 units lots.
As far as stocks options are concerned, market lo
t differs from scrip
to scrip and this is decided so as to ensure the minimum value of Rs.2 lakhs per contract.