Deep Dive: Segment rules comparison

Why this page is structured this way: A segment-rules deep dive is fundamentally a reference matrix. The reader looking for “what’s the trading hours of currency derivatives?” or “can NRIs trade commodities?” needs an at-a-glance table that aligns rules across segments. The page is therefore organised as: (1) a high-level overview matrix; (2) per-segment detailed sub-section drilling into the eight key dimensions (hours, settlement, margin, position, lot, expiry, retail, NRI, dispute) for each segment; (3) cross-segment topics that don’t fit cleanly per-segment (cross-margin, segment add/drop, conversion procedures). Per-segment sections use a consistent eight-row sub-matrix for easy comparison.

TL;DR

• Six primary segments for Indian retail / institutional trading: Cash Market (CM / equity delivery, intraday, BTST), Equity F&O (futures and options on indices and single-stocks), Currency Derivatives (CD) (USD/INR, EUR/INR, GBP/INR, JPY/INR, cross-currency pairs), Interest Rate Derivatives (IRD) (G-Sec futures), Commodity Derivatives (MCX / NSE / BSE Commodity) (agri, base metals, bullion, energy), Debt (corporate bonds, G-Sec retail, T-Bills, SGB secondary).
• Trading hours vary widely: equity cash and F&O 09:15-15:30 IST (with pre-open / closing extensions); currency derivatives 09:00-17:00 IST; commodities MCX 09:00-23:30 / 23:55 IST (with evening session to align with international markets); debt 10:00-17:00 IST (NDS-OM); GIFT IFSC venues 24x6.
• Settlement cycle: equity cash T+1 default with T+0 beta optional (extended to top 500 scrips per SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/02 dated Dec 10, 2024); F&O T+1 cash settlement and physical delivery on expiry for stock derivatives; commodities physical delivery (compulsory or option) per contract specification; currency / IRD cash settlement.
• Margin framework: SPAN + ELM in derivatives (computed at CC: NSCCL, ICCL, MCXCCL); VaR-based margin in cash (with peak margin reporting); upfront option premium collection (per SEBI Oct 2024 reforms). Each segment has segment-specific add-ons.
• Retail participation: open in cash, F&O, CD, commodities (with income / suitability proofs for F&O / commodities under broker KYC). IRD limited retail. Debt mostly institutional with retail access via NSE goBID / BSE Direct.
• NRI eligibility: open in cash market (PIS route, delivery-only; non-PIS route with NRO for broader access); NRIs prohibited from commodities (MCX); CD and IRD with specific conditions. See NRI conversion for procedural side.
• Dispute resolution: SEBI’s three-tier — Investor Service Centre / IGRC (Investor Grievance Redressal Committee) → Arbitration (exchange-administered) → Smart ODR (post Aug 2023) → SAT (appellate) → Supreme Court. SCORES is the parallel SEBI-administered complaint platform.

Master comparison matrix

Dimension	Cash Market	Equity F&O	Currency Derivatives	Interest Rate Derivatives	Commodity Derivatives	Debt
Primary exchange	NSE, BSE	NSE, BSE	NSE, BSE	NSE	MCX (primary), NSE, BSE	NSE NDS-OM, BSE NDS-OM, retail platforms
Clearing corp	NSCCL, ICCL	NSCCL, ICCL	NSCCL, ICCL	NSCCL	MCXCCL, NCL, ICCL	NSCCL, ICCL
Trading hours (IST)	09:00-15:40 (incl. pre-open / closing)	09:15-15:30	09:00-17:00	09:00-17:00 (varies by contract)	09:00-23:30/55 (split session)	10:00-17:00 (NDS-OM); retail platforms per market hours
Settlement cycle	T+1 default; T+0 optional for top 500	T+1 cash settle; physical delivery on stock expiry	T+2 cash settle	T+2 cash settle	T+1 to T+5+ per contract; physical delivery for many	T+1 / T+2
Margin framework	VaR-based + Peak margin + UPI block / 3-in-1 for QSB	SPAN + ELM + premium upfront + intraday position-limit monitoring	SPAN + ELM	SPAN + ELM	SPAN + SOMM + commodity-specific Volatility Scan Range	RBI-driven; haircut on G-Sec collateral
Position limits	Per-scrip ceilings; client / member / aggregate; surveillance-triggered	Per-instrument MWPL; client / member / aggregate; intraday monitoring	Per-pair limits; member / participant / client	Per-instrument limits	Per-commodity / category limits	Mostly institutional; retail limits per scheme
Lot size	1 share (unit)	Min Rs 15 lakh contract notional (post Oct 2024)	Standard pair-specific (USD/INR = 1000 USD)	Standard contract size	Commodity-specific (Gold 1 kg, Silver Micro 1 kg, Crude Oil Mini 10 bbl, Gold Ten 10 g, etc.)	Standard face value Rs 1000
Expiry conventions	N/A (cash)	Monthly + weekly index; monthly stock; rationalised to one benchmark weekly per exchange	Monthly	Quarterly (mostly)	Monthly + special quarterly contracts; tender period for delivery	N/A (open-ended for most)
Retail eligibility	Open	Open (with income proof)	Open (with income proof)	Limited retail (mostly institutional)	Open (with income proof)	Limited retail (some via direct retail platforms)
NRI eligibility	Yes (PIS or non-PIS)	Non-PIS only (NRO)	Limited (FEMA-compliant)	Limited	Prohibited	Limited
Dispute resolution	IGRC → Arbitration → Smart ODR → SAT	Same	Same	Same	Same (MCX has its own IGRC / arbitration framework)	Same

The detailed per-segment sub-sections follow.

Segment 1: Cash Market (CM)

Overview

The equity cash market is the primary segment for retail and institutional equity trading on NSE and BSE. It covers equity delivery (T+1 settled with delivery of shares to the buyer’s BO), intraday trading (positions opened and closed on the same day with no delivery), and BTST (Buy Today Sell Tomorrow — buying on Day 1 and selling on Day 2 before payout-day delivery).

Trading hours

• Pre-open auction: 09:00-09:15 IST (see Pre-open / closing auction).
• Continuous trading: 09:15-15:30 IST.
• Closing session: 15:30-15:40 IST (continuous trading with closing-auction call for eligible scrips 15:40-15:50 on NSE).
• T+0 session (for eligible scrips): 09:15-13:30 IST only; no pre-open / closing for T+0.
• AMO acceptance: post-close (16:00) to next-day 08:59 IST.

Settlement cycle

• T+1 default: as of 2026-05-14, T+1 is the default rolling-settlement cycle. NCL/CMPT (FY 2024-25 consolidated, NCL/CMPT/67751 dated 2025-04-29) and ICCL consolidated circulars define the day-by-day T+1 settlement schedule.
• T+0 optional: per SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/02 dated 2024-12-10 (“Enhancement in the scope of optional T+0 rolling settlement cycle”), T+0 was expanded from 25 scrips to top 500 scrips by market capitalisation in a phased manner, with custodian-cleared clients also permitted, extended trading window, and differential brokerage allowed. T+0 scrips identified by ”#” suffix.
• Settlement reports: daily pay-in / pay-out files per CC; direct-payout-to-demat regime in force per NCL/CMPT/66779 (Feb 21, 2025), NCL/CMPT/67947 (May 9, 2025), and subsequent NCL/CMPT/69455 (Aug 1, 2025).
• Internal-shortage auction: T+2 auction for shortfall delivery; rules per NCL/CMPT/71045 (Oct 30, 2025) and FAQ NCL/CMPT/71441 (Nov 24, 2025).

Margin framework

• VaR-based margin at the clearing corporation; member-level margin reporting daily.
• Peak margin — intraday peak-margin reporting introduced via SEBI to capture intraday margin compliance.
• UPI block / 3-in-1 facility for QSB: per SEBI circular SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2024/175 (Dec 17, 2024) — every Qualified Stock Broker must offer either the UPI-block facility (ASBA-like protection in cash segment) or 3-in-1 trading account, effective February 1, 2025.
• Margin pledge / repledge framework at depositories — see CDSL and NSDL circulars.

Position limits

• Per-scrip ceilings (client-level, member-level, aggregate).
• Surveillance-triggered restrictions: GSM (Graded Surveillance Measure) Stage I-IV; ASM (Additional Surveillance Measure); ESM (Enhanced — for SMEs); STASM (Short-Term).
• Concentration limits per exchange master surveillance circular (NSE/SURV/61970 dated 2024-05-02).

Lot size

• 1 share (unit). Equity scrips trade in single-unit lots.
• Surveillance-tagged scrips may have minimum-quantity restrictions (e.g., periodic call-auction scrips trade in pre-defined quantities).

Expiry / contract conventions

• N/A — cash market trades are spot transactions; no expiry.

Retail eligibility

• Open to all individual retail investors with KYC completion and bank-account linkage.
• No income proof required for cash equity trading.
• Aadhaar / PAN / bank-account verification per onboarding KYC.

NRI eligibility

• PIS route: cash market only (delivery-only — intraday not permitted under PIS). NRE / NRO bank linkage. AD-Category-I bank issues PIS letter.
• Non-PIS route: NRO bank account; broader access including intraday in some setups, subject to broker policy.
• F&O for NRIs is via non-PIS NRO route per broker policy; PIS does not permit F&O.
• See NRI conversion for procedural side.

Dispute resolution

• IGRC (Investor Grievance Redressal Committee) at exchange — first level.
• Arbitration under exchange bye-laws — second level.
• Smart ODR (post Aug 2023) — online dispute resolution.
• SAT (Securities Appellate Tribunal) — appellate.
• SCORES — SEBI-administered complaint platform; runs in parallel.
• IPF (Investor Protection Fund) — for broker-default claims; see IPF.

Segment 2: Equity F&O (Futures and Options)

Overview

Equity Futures & Options covers index futures (Nifty 50, Bank Nifty, Fin Nifty, Sensex, Bankex, etc.), index options (on the same indices with weekly and monthly expiries — rationalised to one weekly per exchange per SEBI Oct 2024 reforms), single-stock futures, and single-stock options (monthly expiry, physical delivery on expiry).

Trading hours

• Continuous trading: 09:15-15:30 IST.
• No separate pre-open / closing auction for derivatives (derivatives open with cash-market opening).
• No AMO for F&O.

Settlement cycle

• Daily MTM in cash (variation margin) for futures during the contract life.
• Final settlement on expiry: index futures and options cash-settled to underlying index closing value; stock futures cash-settled or physically settled (post 2018, stock derivatives moved to physical delivery on expiry); stock options expire to physical delivery if ITM.
• Reference price for settlement: underlying’s cash-market closing (call-auction or 30-min VWAP — see Pre-open / closing auction).

Margin framework

• SPAN (Standardised Portfolio Analysis of Risk) + ELM (Extreme Loss Margin) as the baseline.
• Upfront premium collection for options — buyers’ premium collected upfront, removed leverage on the buyer side, per SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/137 dated 2024-10-01.
• Intraday position-limit monitoring — same SEBI Oct 2024 circular.
• Calendar-spread benefit removed on expiry day — same SEBI Oct 2024 circular.
• Increased tail-risk coverage on expiry day — same SEBI Oct 2024 circular.
• Minimum contract size Rs 15 lakh for index derivatives — per same SEBI Oct 2024 circular, rationalising lot sizes upward.

Position limits

• MWPL (Market-Wide Position Limit) per scrip / instrument.
• Client-level limits per instrument.
• Member / Participant limits per instrument.
• Aggregate FII / DII limits at the segment level.
• Monitoring at clearing corp; reported daily.

Lot size

• Minimum Rs 15 lakh contract notional per SEBI Oct 2024.
• Tick size: per scrip (typical Rs 0.05 or finer per NSE/CMTR/63594 / NSE/FAOP/67134 tick-size revisions).

Expiry conventions

• Index options weekly: rationalised to one per exchange (per SEBI Oct 2024). NSE: Nifty (or Bank Nifty — per current SEBI calibration). BSE: Sensex (per current SEBI calibration). Other indices retained as monthly only.
• Index options monthly: last Thursday of the month for NSE Nifty; last Tuesday for BSE Sensex (per recent calibration); confirm per current exchange-side circulars.
• Index futures: monthly + roll-over windows.
• Stock options / futures: monthly only; physical delivery on expiry.

Retail eligibility

• Open with income proof (ITR, salary slips, bank statement) per broker’s KYC / suitability framework.
• Trading-preference election at onboarding per SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2024/127 (the trading-preferences circular replacing 2011 framework) — new clients are registered on all active exchanges by default after obtaining trading preferences.

NRI eligibility

• Non-PIS NRO route; PIS does not permit F&O.
• Specific broker-level eligibility checks; some brokers restrict NRI F&O participation to particular client tiers.

Dispute resolution

• IGRC → Arbitration → Smart ODR → SAT (same as cash market).

Segment 3: Currency Derivatives (CD)

Overview

Currency Derivatives include INR-pairs futures and options (USD/INR, EUR/INR, GBP/INR, JPY/INR), and cross-currency pairs (EUR/USD, GBP/USD, USD/JPY — these are non-INR pairs settled in INR equivalent). Trading on NSE Currency Derivatives Segment and BSE Currency Derivatives Segment. Clearing at NSCCL and ICCL respectively.

Trading hours

• 09:00-17:00 IST for most contracts. Cross-currency pair extended hours may apply.
• No pre-open / closing call auction.

Settlement cycle

• T+2 cash settlement for both INR-pairs and cross-currency contracts.
• All currency derivatives are cash-settled (no physical delivery of currency).

Margin framework

• SPAN + ELM at CC.
• Currency-specific margin parameters reflecting FX volatility.
• Member-level and client-level margin reporting daily.

Position limits

• Per-pair limits for member, participant, client.
• Aggregate limits per scheme per SEBI guidelines.
• Penalty structure per BSE 20230118-23 (Feb 1, 2023) for ICCL-administered position-limit violations: Equity Derivatives and Currency Derivatives have specific tiers.

Lot size

• Per-pair standard contract:
  • USD/INR: 1000 USD per lot.
  • EUR/INR: 1000 EUR per lot.
  • GBP/INR: 1000 GBP per lot.
  • JPY/INR: 100000 JPY per lot.
  • Cross-currency pairs: similar standardised lot sizes.

Expiry conventions

• Monthly expiry — last working day or last-but-one working day of the month, per exchange specifications.

Retail eligibility

• Open with income proof per broker KYC.
• Restricted underlying-exposure documentation may apply where currency derivatives are used for hedging by exporters / importers — per RBI guidance on hedging of foreign-exchange risk.

NRI eligibility

• Limited; FEMA route considerations apply. PIS does not generally permit currency derivatives speculation.

Dispute resolution

• IGRC → Arbitration → Smart ODR → SAT (same framework).

Segment 4: Interest Rate Derivatives (IRD)

Overview

Interest Rate Derivatives include G-Sec futures (futures contracts on Government Securities of various tenures). Trading primarily on NSE. Clearing at NSCCL.

Trading hours

• 09:00-17:00 IST for IRD trading. Varies by contract.

Settlement cycle

• T+2 cash settlement.

Margin framework

• SPAN + ELM at NSCCL.
• IR-specific margin parameters reflecting bond volatility.

Position limits

• Per-instrument limits per RBI / SEBI guidelines.
• Aggregate limits per category (FPI / domestic).

Lot size

• Standard contract size in face value (e.g., Rs 2 lakh face value per contract for G-Sec futures).

Expiry conventions

• Quarterly expiry — March, June, September, December cycle.

Retail eligibility

• Limited retail interest; predominantly institutional (banks, primary dealers, insurance companies, mutual funds).

NRI eligibility

• Limited; per FEMA framework.

Dispute resolution

• IGRC → Arbitration → Smart ODR → SAT (same framework).

Segment 5: Commodity Derivatives (MCX, NSE Commodity, BSE Commodity)

Overview

Commodity Derivatives covers four broad categories on MCX (the primary commodity-derivatives exchange in India) and to a lesser extent on NSE Commodity and BSE Commodity:

• Bullion: Gold (1 kg, compulsory delivery from December 2023 — per Gold contract specs), Gold Mini (100 g — per MCX/MEM/707/2022 baseline), Gold Micro, Gold Petal, Gold Ten (10 g — launched per MCX/TRD/134/2025 dated 2025-03-18 with delivery and settlement procedure per MCX/MCXCCL/148/2025 dated 2025-03-25), Silver (variants).
• Base Metals: Aluminium, Copper, Lead, Zinc, Nickel — compulsory delivery on expiry; staggered tender period typically 3-5 working days per SEBI/HO/MRD/MRD-PoD-1/P/CIR/2024/57 dated 2024-05 (reducing from 5 to 3 days).
• Energy: Crude Oil (cash-settled), Crude Oil Mini (10 barrels — per MCX/RIS/146/2023 dated 2023-02-17), Natural Gas.
• Agri: Spices, oilseeds, pulses, grains (where SEBI-approved — list periodically refreshed per SEBI commodity derivatives master circular SEBI/HO/MRD/MRD-PoD-1/P/CIR/2024/172 dated 2024-12-03).

Trading hours

• Morning session: 09:00-17:00 IST.
• Evening session: 17:00-23:30 IST (winter) / 17:00-23:55 IST (summer — when international commodity markets are open later).
• Evening session aligned to international commodity reference (London / NYMEX / COMEX) for international-priced commodities (bullion, base metals, energy).

Settlement cycle

• Daily MTM during contract life.
• Final settlement on expiry:
  • Compulsory-delivery contracts (Gold 1kg, Silver, Gold Ten — per MCX/MCXCCL/148/2025, base metals): physical delivery via MCXCCL Accredited Warehouses (MAW).
  • Cash-settled contracts (Crude Oil, Natural Gas, Gold Mini in some variants): cash settlement to Due Date Rate.
• Tender period / delivery period: 3-5 working days before expiry depending on contract; staggered tender intentions submitted via MCXCCL eClear.
• Delivery-period margin: higher of 3% + 5-day 99% VaR of spot price volatility, or 25% — per MCX/MCXCCL/148/2025 for Gold Ten.

Margin framework

• SPAN methodology with VaR over MPOR (Margin Period of Risk) per MCXCCL/RISK/045/2025 dated 2025-03-05 / superseding circulars.
• SOMM (Self-Originated Member Margin) — segment-specific add-on per MCX framework.
• MSBA (Margin Shortfall Block Amount).
• Volatility Scan Range (VSR) — commodity-category-specific parameters per MCXCCL/RISK/187/2025 dated 2025-09-05 (Copper VSR 5, Crude Oil 33, Gold 4, Natural Gas 6, Silver 6, Zinc 6 — illustrative). Three categories of commodities based on realised volatility.
• Agri-commodity additional lean-period margin: 2% on contracts expiring during lean period (lead Exchange website lists).
• Staggered tender-period margin: 5% additional on outstanding positions over IM / special / additional, during the tender period.

Position limits

• Per-commodity ceilings (member-level, client-level).
• Penalty structure for position-limit violation in equity derivative and currency derivative segment (BSE 20230118-23 dated 2023-01-18, in-force date 2023-02-01) issued by ICCL — parallel to MCXCCL frameworks for commodity-derivative position limits.

Lot size

• Contract-specific:
  • Gold (1 kg) — 1 kg per lot.
  • Gold Mini — 100 g per lot.
  • Gold Ten — 10 g per lot.
  • Silver (variants) — varies (5 kg / 1 kg / 250 g).
  • Crude Oil — 100 bbl per lot.
  • Crude Oil Mini — 10 bbl per lot.
  • Natural Gas — contract-specific.
  • Base Metals — kilogram-specific per metal.
  • Agri — quintal / metric ton-specific per commodity.

Expiry conventions

• Monthly expiry for most contracts (5th of the month or last working day of the month per contract spec).
• Quarterly special contracts for some commodities.
• Tender period starts before expiry; staggered-tender-period intentions submitted during this window.

Retail eligibility

• Open with income proof per broker KYC.
• Source-of-funds review for large commodity positions.

NRI eligibility

• Prohibited. NRI clients cannot trade commodity derivatives on MCX per FEMA / SEBI framework. Existing NRI positions must be closed before NRI conversion. See NRI conversion.

Dispute resolution

• MCX IGRC — MCX’s own Investor Grievance Redressal Committee.
• Arbitration under MCX bye-laws.
• Smart ODR.
• SAT → Supreme Court.
• MCX IPF: per MCX Master Circular — Investor Protection Fund / Investor Service Fund and corrigendum MCX/IPF/109/2026 dated 2026-03-05; per-investor cap typically Rs 10 lakh. See IPF.
• MCX Default Master Circular: MCX/ISD Master Circular (Default) Version 3 dated 2025-04-29 — defaulter handling and client claims.

Segment 6: Debt

Overview

Debt segment includes:

• NDS-OM (Negotiated Dealing System — Order Matching) for G-Sec / T-Bills / SDLs — primarily institutional.
• Corporate bond trading on NSE / BSE platforms — primarily institutional via RFQ.
• Retail debt platforms: NSE goBID, BSE Direct — retail-friendly G-Sec auctions.
• Sovereign Gold Bonds (SGB) secondary market trading on NSE / BSE cash segment alongside equity trading.

Trading hours

• NDS-OM: 10:00-17:00 IST for G-Sec.
• NSE goBID / BSE Direct: aligned to auction-cycle timings published by RBI.
• SGB secondary trading: 09:15-15:30 IST (alongside equity cash session).

Settlement cycle

• NDS-OM G-Sec: T+1 settlement via CCIL.
• Corporate bond: T+1 / T+2 per exchange specification.
• SGB secondary: T+1 alongside equity cash.

Margin framework

• For NDS-OM trades: RBI-driven margin via CCIL.
• For exchange-traded debt: standard exchange margin framework.
• G-Sec / T-Bills / SGBs are widely accepted as approved collateral for margin purposes in other segments (per approved-collateral circulars, e.g., MCX/MCXCCL/094/2026 dated 2026-02-26 and successor lists for MCX commodities; equivalent NCL and ICCL approved-collateral circulars). Margin benefit is withdrawn two days prior to maturity per the standard collateral framework. RBI-issued SGB / T-Bill all accepted.

Position limits

• Per-scheme / per-instrument limits per RBI / SEBI guidelines.
• FPI sub-limits in G-Sec / corporate bond per RBI framework.

Lot size

• Standard face value Rs 1000 / Rs 10000 per bond depending on issue.
• Round-lot conventions per platform.

Expiry conventions

• N/A — bonds have maturity dates but not expiry in the derivatives sense. Tenor varies.

Retail eligibility

• Limited direct retail access via dedicated retail platforms (NSE goBID, BSE Direct).
• SGB secondary trading is open to retail through standard cash market accounts.

NRI eligibility

• Limited; per FEMA / RBI route.

Dispute resolution

• IGRC → Arbitration → Smart ODR → SAT (same framework where exchange-traded).
• NDS-OM has separate CCIL-administered grievance route.

Cross-segment topics

Cross-margin benefits

• Some cross-margin benefits exist within a CC (e.g., index futures vs underlying stocks at NSCCL) per the SPAN methodology recognising offsetting positions.
• Cross-margining across CCs is not standard; would require bilateral inter-CC agreements.
• Calendar-spread benefit on expiry day in equity index derivatives was removed per SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/137 dated 2024-10-01.

Segment add / drop modifications

• Clients add or drop segments via the segment modification procedure — see Modifications: segment add/drop.
• Income proof required for F&O, CD, IRD, commodities.
• NRI segment restrictions are applied automatically at conversion — see NRI conversion.
• Trading preferences framework per SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2024/127 — new clients registered on all active exchanges by default after obtaining trading preferences; existing clients get all-active-exchange access after 3-month negative-consent window.

Tax treatment differences

• Equity delivery (CM): held >12 months → LTCG @ 12.5% on gains above Rs 1.25 lakh; held <12 months → STCG @ 20%. STT applicable on each side.
• Equity intraday (CM): treated as speculative business income; taxed at slab rate.
• F&O (Equity, CD, IRD): treated as business income (non-speculative); taxed at slab rate.
• Commodities: treated as business income (non-speculative); slab rate. CTT (Commodity Transaction Tax) applicable.
• NRI: TDS at source on capital gains and dividends — see NRI conversion.
• STT, CTT, GST, exchange charges, SEBI turnover fee, stamp duty — all segment-specific; published in broker’s tariff schedule.

Segment registration at exchange

• Each segment requires a separate exchange UCC registration — see Exchange registration.
• Member-level membership required; trading-cum-self-clearing or trading-member-only categories.
• Segment-specific capital requirements (BMC / ABC) — see BMC / ABC.

Tip

Segment activation isn’t all-at-once. A client opening with a broker may activate Cash + F&O on Day 1 (with income proof) and add CD / commodities later as their trading evolves. Each addition is a modification (Section S of the master dataset) and triggers a fresh segment-eligibility check at the broker plus a UCC update at the relevant exchange. See Modifications — segment add / drop.

Common compliance touchpoints across segments

• Margin pledge / repledge framework — applies across CM and F&O for client securities pledged as collateral.
• Client funds upstreaming — applies across all segments; client funds segregated at broker and upstreamed to CC daily. See Client funds upstreaming.
• Peak margin reporting — applies across CM and derivatives.
• Investor charter — published per segment by exchanges and SEBI.
• Risk disclosure document — segment-specific; client signs at segment activation.

Surveillance across segments

• NORMS / GSM / ASM / ESM / STASM — applies to cash market predominantly; derivatives have their own surveillance frameworks.
• Spoofing detection — applies to CM and Equity Derivatives per NSE/SURV May 2019 ASM circular.
• MWPL / position-limit monitoring — applies to derivatives.
• Pump-and-dump — primarily CM (penny stocks, SME).
• Marking-the-close — CM with derivative-expiry correlation.
• See Market manipulation typologies.

Outage SOP across segments

• Equity / F&O outage SOP: SEBI Master Circular for Stock Exchanges and Clearing Corporations covers exchange-outage SOP.
• Commodity outage SOP: per SEBI/HO/MRD/MRD-PoD-1/P/CIR/2024/57 dated 2024-05 — Standard Operating Procedure for handling of Stock Exchange outage and extension of trading hours in Commodity Derivatives segment.

Sub-cases and edge cases

IPO listing day in cash market

• Special pre-open call-auction with extended duration per NSE/CMTR/63594.
• Transparency disclosure of indicative price / quantity.
• See Pre-open / closing auction.

T+0 settlement series in cash market

• Top 500 scrips eligible per expanded SEBI framework.
• ”#” suffix.
• 09:15-13:30 trading window; no pre-open / closing.
• See T+0 / T+1 settlement nuances.

Expiry-day mechanics in equity F&O

• Settlement reference: underlying cash-market closing.
• Tail-risk margin increase on expiry day per SEBI Oct 2024.
• Calendar-spread benefit removed.
• Marking-the-close surveillance intensified.

Compulsory-delivery vs cash-settled commodities

• Compulsory delivery: Gold 1 kg, Gold Ten 10 g, Silver, all base metals, agri-commodities — physical delivery via MAW.
• Cash-settled: Crude Oil, Natural Gas (specific variants), some indices.
• Tender intentions submitted during staggered tender period per MCX/MCXCCL/148/2025-type circulars.

G-Sec collateral in non-debt segments

• G-Sec / T-Bills / SGBs are approved collateral in CM, F&O, CD, IRD, commodities per approved-collateral circulars.
• Margin benefit withdrawn 2 days prior to maturity.
• VaR-rate haircut applied.

Member registered across multiple exchanges

• Same broker as a member at NSE + BSE + MCX + others requires separate UCC at each exchange, separate BMC / ABC, separate IPF claim windows (per defaulting-broker default).
• Cross-MII intimation framework for defaults / suspensions.
• See Exchange registration and Member default recovery.

NRI segment access table

Segment	NRI access (PIS)	NRI access (Non-PIS NRO)
Cash Market — delivery	Yes	Yes
Cash Market — intraday	No	Yes (broker-permissive)
Equity F&O	No	Yes (broker-permissive)
Currency Derivatives	Limited	Limited
Interest Rate Derivatives	Limited	Limited
Commodity Derivatives (MCX)	No	No
Debt (retail)	Limited	Limited

Mutual Fund segment

• BSE StAR MF and NSE NMF II — distinct from the above six trading segments. Different settlement and operational framework; covered in Mutual Fund platforms deep-dive.

Tri-Party Repo (TREPS)

• Separate segment at the CC (NSCCL, ICCL) for G-Sec triparty repo. Primarily institutional; out of scope for retail trading discussion here.

GIFT IFSC venues

• NSE IFSC, India INX (BSE IFSC) operate in GIFT City IFSC with a separate regulatory framework under IFSCA.
• 24x6 trading.
• Out of scope for this page; covered briefly in Compliance Blueprint — Member compliance section.

Caution

Rules change frequently. This comparison reflects rules in force as of 2026-05-14 verified against circulars cited in the project’s circular index. SEBI / exchange / CC updates occur monthly; always reconfirm specific provisions against the current master circular before acting on the information here.

Practical notes

• [industry practice] Most full-service brokers offer all six segments at onboarding; discount brokers may offer fewer (e.g., CM + F&O only) and require segment-specific activation. The trading-preferences framework per SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2024/127 has shifted the default toward all-active-exchange registration — broker UI must capture preferences explicitly.
• [gotcha] New ops engineers often assume a single segment = single regulator. In fact, every segment has multi-layer regulation: SEBI (broker / exchange), the relevant CC (clearing / margin), the exchange (trading rules / surveillance), and where applicable RBI (currency / IRD / SGB) or FMC (legacy commodities, pre-merger with SEBI). Tracking circulars per segment requires monitoring all these issuers.
• [risk trade-off] Offering more segments at onboarding is a customer-experience win but introduces segment-specific risk-of-loss disclosures, suitability assessments, and ongoing compliance touchpoints. Tighter brokers segment-gate by net-worth / income / experience; looser brokers offer broad access subject to capital adequacy.
• [cost optimization] Segment-specific margin and approved-collateral circulars (MCX/MCXCCL/094/2026, NCL approved-collateral revisions) refresh quarterly; broker treasury can optimise collateral mix by re-running the approved-list against the broker’s collateral inventory each quarter to maximise margin efficiency.
• [regulatory direction] The SEBI Oct 2024 framework for equity-index-derivatives (SEBI/HO/MRD/MRD-PoD-2/P/CIR/2024/137) signals continued tightening of derivatives surveillance and structural risk-management; expect comparable calibrations in commodity and currency derivatives over coming cycles.

Cross-references

• Deep Dive: Pre-open / closing auction — equity cash session structure.
• Deep Dive: Market manipulation typologies — surveillance across segments.
• Deep Dive: SGF / Core SGF framework — segment-specific SGFs.
• Deep Dive: IPF — exchange IPFs (NSE, BSE, MCX) and per-investor caps.
• Deep Dive: Member default recovery — default propagation across segments.
• Deep Dive: T+0 / T+1 settlement nuances — settlement cycle details.
• Deep Dive: RMS / SPAN methodology — margin computation across segments.
• Deep Dive: BMC / ABC — member capital across segments.
• Lifecycle: NRI conversion — NRI segment restrictions.
• Lifecycle: Modifications — segment add / drop procedure.
• Operations: Exchange registration — UCC registration per segment.
• Compliance Blueprint — segment-specific compliance domains.
• Circulars — SEBI Other — segment master circulars and the Oct 2024 equity-index-derivatives framework.
• Circulars — SEBI MIRSD — trading preferences and broker-side segment registration framework.
• Circulars — NSE and BSE — exchange-specific segment circulars.
• Circulars — MCX — commodity-specific contract specifications and tender procedures.
• Circulars — Clearing Corporations — NSCCL / ICCL / MCXCCL margin and settlement.
• Circulars — RBI — debt / G-Sec / NDS-OM framework.

Verified through

2026-05-14

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AI-generated and not legal, financial, or compliance advice. See the project README for full disclaimer.