Current Affairs · Capital Markets & Securities Regulation

In a systemic overhaul aimed at enhancing market integrity in the equity derivatives market, the Securities and Exchange Board of India (SEBI) has introduced new risk metrics. This regulatory reset focuses heavily on the implementation of a 'future equivalent' approach for calculating Open Interest (OI) and the restructuring of marketwide position limits (MWPL). Consider the following statements regarding the specific operational changes introduced under this revised F&O trading framework: 1. Open Interest (OI) calculations will now utilize a 'future equivalent' approach, which aggregates the delta-adjusted positions of options with futures OI to accurately reflect the true price sensitivity of outstanding positions. 2. To mitigate systemic risks, the revised framework mandates that traders must entirely square off and exit their positions when a stock enters a ban period. 3. In consideration of the significant rise in market size since March 2020, the end-of-day limit for index futures has been raised to ₹1,500 crore, with a proposed intraday limit of ₹2,500 crore to facilitate market-making. 4. The new regulations explicitly delink the Marketwide Position Limits (MWPL) from the underlying cash market to prevent single entities like FPIs from exerting undue market influence. Which of the statements given above are correct?