Sebi: India retail investors lose money | Chiranjivi Chakraborty posted on the topic | LinkedIn (2024)

Indians are losing heavily in Options contract but still the trading frenzy continues...More than 85B options contracted in India, whereas US just had 11B contracts.One of them has lost more than 4,00,000 since August till january 2024 but still he thinks that he can make 10 to 15% per month in stock market 🙄 i.e more than 100% returns in a year You can be positive but this is too good to be positive in #stockmarket https://lnkd.in/g3xnG_-x

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SRJ pre: Retail traders are losing billions in India’s booming options marketIn India, retail investors account for 35% of options trading, while institutions, aiming to mitigate risk or generate profits for their companies, manage the remainder. This trend has regulators concerned as ordinary individuals are steering away from traditional wealth-building methods like long-term investments in stocks and mutual funds, opting instead for speculative trading.https://lnkd.in/d8g9zCJR - SRJ post

Is it #Financial literacy or just FOMO ???Retail #investors have grown 3 fold in the past 5 years in India.Digitisation and better awareness have contributed well ( thanks to finfluencers ) Till february 2024 number of investors registered reached 9 Cr.The best part is the rate of growth of retail investors : 6 Cr to 7 Cr took 9 months 7 Cr to 8 Cr took 8 months 8 Cr to 9 Cr took only 5 monthsOn an average Januray 2024 witnessed 78000 new registrations daily but even this is not evenly distributed53.5% of #stockmarket investors are from- Maharashtra,UP,Gujarat,Rajasthan,WB,Karnataka.But why such a sudden spike? is it because of better financial education or panic selling and buying of stocks.This can only be validated if we track how many investors stay invested for more than 3 years as this will give an understanding of an informed investor.PS: Me staring at stocks not knowing what to do.

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9 out of 10 retail F&0 traders end in losses. But does that mean extending the trading hours is bad? Are More hours = More loss? No. Simply put, extended trading hours reduces the time arbitrage that handicaps Indian traders. Factors that impact the businesses and their outlook are not bound to the trading hours in India. A major event in the West counts. Market participants there get to adjust their investment approach to these changes earlier & better. The same is true for those in GIFT City as well. A limited extension of trading hours (6 pm to 9 pm) brings more parity. P.S. The F&O losses are matter of indiscipline, poor decision making, and sometimes factors outside the traders' control. Shorter or longer hours have limited impact on this. #Futures #trading #equitymarkets

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💸 Retail Traders in India Face Heavy Losses as Options Frenzy Hits $85.3 Billion in 2023 📉Promoters lure small investors into risky options trading, contributing to a $5.4 billion loss in 2022. Regulators urge caution. #OptionsTrading #IndiaInvesting #markettrends

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✅ Do you know that Retail Investors in India can trade in Government of India Securities?Are you surprised ??👉🏻But this is true, & that is also by opening Retail Direct Gilt Account with RBI directly. Please understand the Government Securities market is a institutional play. It was never for Retail investors.In India, we have deep & vibrant Equity market & culture. But Debt market is somewhat not so liquid. This is the step in right direction to deepen the Gsec market & allow retail participants to invest in GOI bond market.One can trade in Gsec market by investing in Goi securities, T bills , Sovereign Gold bond issued by RBI on behalf of Government of India. One can trade in these securities without paying any brokerage.Only Resident Indians & NRI can trade in these securities.Please click on the link to open RBI Retail Gilt Account…https://lnkd.in/enemd36rhttps://lnkd.in/eMBAybftPhoto Courtesy— From my Laptop

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#MagazineStoryThe recent volatility witnessed on the bourses has slowed the retail investor's rush into the equity markets. It might take a lot to get the fence-sitters to jump in now.Faisal Mohammed Zerodha • Vijay Chandok ICICI SECURITIES • Jimeet Modi Samco Securities Limited • Yash Upadhyay 5paisa • Gaurav Rastogi Kuvera.in • NSE India #markets #retail #stockmarket #stockmarketindia #equity #investments #capitalmarkets #retailinvestorshttps://lnkd.in/dfFh-rF7

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My friend Akshay recently contributed a compelling article to Bloomberg Markets, shedding light on the dramatic surge of options trading among retail investors in India. The staggering volume of 85 billion options contracts traded in India far surpasses the 5 billion contracts recorded in the U.S. in 2023. This trend, fueled by catchy marketing tunes from self-styled financial gurus, perpetuates a cycle where the promise of overnight riches primarily enriches the brokers and intermediaries. Regrettably, this scenario leaves 90% of individual investors, often referred to as 'mom and pop' traders, in a cycle of wealth destruction—a narrative that recurs across generations.Retail Traders Are Losing Billions in India’s Booming Options Markethttps://lnkd.in/gD3yWHsg"...investors lost $5.4 billion. That amounted to $1,468 apiece in a country, no small in a country with a per capital gross domestic product that year of $2,300."Akshay this was brilliantly written. Proud of you!Kudos to the co-authors and other contributors.

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Q. “Why there is two exchanges in india” A. Exchanges are places where you can buy and sell something.India has two operational stock exchanges: Bombay Stock Exchange (BSE) and National Stock Exchange (NSE).There were other stock exchanges in India also.But they shut down due to operational reasons like not being able to remain technologically updated or not being able to stick to the regulatory requirements, etc.Example: Calcutta Stock Exchange, Bangalore Stock Exchange, Madras Stock Exchange — are all stock exchanges in India that are no longer operating.Stock exchange is like a shopping mall — a place to buy and sell.There can be any number of stock exchanges in a country.Right now, we have two exchanges.