The National Stock Exchange (NSE) has announced new quantity freeze limits for index futures and options (F&O) contracts, which will come into effect from May 2, 2025. This change has been made under the updated rules in the F&O segment to ensure fair and orderly trading, as mentioned in the NSE’s latest circular dated April 30, 2025.
Quantity freeze limits help to control unusually large order placements that can affect the market. If an order is placed above the limit, it gets rejected by the exchange system to avoid any risk of manipulation or errors.
According to the updated circular, the new quantity freeze limits are calculated based on the methodology shared earlier in circular no. NSE/FAOP/61814 dated April 29, 2024.
Here is the table showing the latest freeze limits for major index contracts:
| Sr. No. | Index Symbol | New Quantity Freeze Limit |
|---|---|---|
| 1 | BANKNIFTY | 600 |
| 2 | NIFTY | 1800 |
| 3 | FINNIFTY | 1800 |
| 4 | MIDCPNIFTY | 2800 |
| 5 | NIFTYNXT50 | 600 |
Members are advised to update their trading systems by uploading the latest contract files before the start of trading on May 2. These updated files can be downloaded from the NSE’s extranet and public website. The exchange has also made available the updated contract files in the path faoftp/faocommon and on the website under “All Reports – Derivatives” section.
Earlier, in 2021, NSE had set different limits such as 2,800 for Nifty and Nifty Financial Services and 1,200 for Bank Nifty. However, with evolving market volumes and risks, these limits have been reviewed again.
These steps are part of NSE’s ongoing efforts to maintain market integrity and manage systemic risk, especially in highly traded index options like Nifty and Bank Nifty, where large order sizes are often placed by institutional and algorithmic traders.
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Source: Moneycontrol.
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