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    Question

    As per the NSE in October 2025, which of the following

    statements correctly describes the recent change in the derivatives market structure?
    A NSE increased the market lot size for four major indices to enhance institutional participation. Correct Answer Incorrect Answer
    B NSE reduced the market lot size for Nifty 50, Nifty Bank, Nifty Financial Services, and Nifty Mid Select indices effective October 28, 2025 Correct Answer Incorrect Answer
    C NSE discontinued index derivative trading for all four indices effective October 28, 2025. Correct Answer Incorrect Answer
    D NSE revised only the Nifty 50 lot size while keeping other indices unchanged. Correct Answer Incorrect Answer
    E NSE merged all four index derivatives into a single composite index derivative from October 2025. Correct Answer Incorrect Answer

    Solution

    According to NSE’s October 2025 circular , the exchange announced a reduction in the market lot size for key index derivatives — Nifty 50, Nifty Bank, Nifty Financial Services, and Nifty Mid Select — to make participation more affordable and to improve liquidity. The new lot sizes take effect from October 28, 2025

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