As per news reports, the National Stock Exchange (NSE) has announced changes to the quantity freeze limits for index derivative contracts. The revised limits will come into effect from September 1, 2025, as per a circular issued on August 29, 2025.
The new freeze limits are set as follows: Bank Nifty at 900, Nifty 50 at 1,800, FinNifty at 1,800, Nifty Midcap Select at 2,800, and Nifty Next 50 at 600. Only Bank Nifty has seen a revision, moving up from the earlier level of 600.
The earlier framework, effective July 1, 2025, had lower limits for some indices. At that time, Bank Nifty was capped at 600, while Nifty 50 and FinNifty were at 1,800, Midcap Select at 2,800, and Nifty Next 50 at 600. The latest change, therefore, impacts only Bank Nifty contracts.
Quantity freeze limits are imposed to control the maximum order size that can be placed in index futures and options. This system helps prevent large, erroneous orders commonly referred to as “fat finger” trades that may disrupt market stability. Orders breaching the specified ceiling are automatically rejected by the exchange’s systems.
Read more: NSE Plans to Launch Pre-Open Session for Index, Stock Futures on December 8!
NSE has advised trading members to update their systems with the revised contract specifications before the effective date. Updated files for contracts are available through the exchange’s extranet server as well as on its official website.
Earlier this week, NSE also announced plans to introduce pre-open trading in equity futures starting December 8, 2025. This change follows the Securities and Exchange Board of India’s directive to extend pre-open sessions to derivatives.
From September 1, 2025, all index derivative trades will operate under the revised freeze limits. The only change is the increase in the permissible order size for Bank Nifty contracts, while other indices continue under the existing framework.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Sep 1, 2025, 2:37 PM IST
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