Summary of this article
Sebi gives nod to BSE to launch focused IT derivatives
Sebi had earlier approved launch of derivatives of BSE Sensex Next 30 and BSE Focused Midcap Index
The Securities and Exchange Board of India (Sebi) has given approval to BSE to launch derivatives on its Focused IT index, the exchange said. The details of the launch and the specifications of the contract will be notified through separate circulars, it said.
The BSE Focused IT Index is a sectoral index which measures the performance of 14 firms in the Information Technology sector under the BSE 500. These companies are Coforge, Cyient, HCL Technologies, Infosys, KPIT Technologies, LTIMindtree, Mphasis, Oracle Financial Services Software, Persistent Systems, Tata Consultancy Services (TCS), Tata Elxsi, Tata Technologies, Tech Mahindra and Wipro. The index was launched in October 2024 and has seen a nearly 24 per cent slump between January and March of this year.
BSE had earlier received the regulator’s nod to launch index derivatives on the BSE Sensex Next 30 and BSE Focused Midcap Index in February 2026. After the approval given on April 9, there will be five derivatives in BSE’s basket. The introduction of derivative contracts on BSE’s focused IT index aligns with the stock exchange’s efforts to expand its product offerings in derivatives and cater to evolving investor demand for sector-specific products.
Shares of BSE were trading 0.18 per cent or 5.9 points higher at Rs. 3,263.30 a piece on April 10. BSE shares had ended 3 per cent higher on the NSE on April 9. Meanwhile, the Sensex was trading nearly 1 per cent higher at 77,349.83 points.
Markets have recovered some of their losses on positive global cues despite a fragile ceasefire in West Asia. However, BSE stock has been outperforming overall markets, delivering nearly 76 per cent returns in the past year. This was at a time when stock markets had been riled due to overall geopolitical uncertainty, seeing outflows from foreign institutional investors, a falling rupee and muted earnings growth. The US-Iran war led the Indian stock market to suffer its latest setback. The BSE stock also hit a fresh 52-week high of Rs. 3,285.70 per share on April 9 after the announcement of Sebi’s approval.
