F&O Trading

By Josh Pearson , 1 February 2026

Stricter regulations in India’s equity futures and options (F&O) segment are reshaping the behaviour of retail traders, with many speculative participants now migrating toward alternative high-risk avenues. Market observers say recent steps by the Securities and Exchange Board of India (Sebi) to curb excessive derivatives speculation have reduced leverage and increased compliance requirements, cooling activity in short-term trading strategies.