What is an F&O Ban?
F&O Ban refers to a situation where trading in futures and options (F&O) of specific stocks is restricted. Stocks are placed under this ban when their market-wide position limit exceeds 95%. This measure prevents excessive speculation and aims to maintain market stability and integrity.
F&O Ban List
| Symbol | Previous MWPL % | Current MWPL % |
| Securities In Ban | ||
| L&T Finance Ltd | 101.37 | 99.17 |
| Hindustan Copper Ltd | 95.48 | 93.58 |
| Bandhan Bank | 95.62 | 92.80 |
| RBL Bank | 91.80 | 90.17 |
| Manappuram Finance | 85.14 | 82.94 |
| Possible Entrants | ||
| Aarti Industries Ltd | 85.91 | 87.42 |
| Aditya Birla Fashion and Retail Ltd | 84.09 | 86.57 |
| Mahanagar Gas Limited | 88.61 | 86.09 |
| PVR INOX Ltd | 86.26 | 85.08 |
| Can Fin Homes Ltd | 81.82 | 82.66 |
| Steel Authority of India Limited | 80.23 | 82.18 |
| Punjab National Bank | 80.08 | 82.00 |
| NMDC Ltd | 79.9 | 80.10 |
| Gujarat Narmada Valley Fertilizers & Chemicals Limited | 79.65 | 80.09 |
| Possible Exits | ||
| Manappuram Finance | 85.14 | 82.94 |
Introduction to F&O Ban List Companies
L&T Finance Ltd
L&T Finance Ltd is a leading financial services provider in India, offering retail, housing, and infrastructure loans. Part of Larsen & Toubro Group, it emphasises innovation, sustainability, and digital solutions to drive financial inclusion and sectoral growth.
Bandhan Bank
Bandhan Bank Limited is a commercial bank in India, focused on serving underbanked and rural customers with a wide range of banking and financial products and services.
Hindustan Copper Ltd
Hindustan Copper Limited, incorporated on November 9, 1967, is India’s sole copper ore-producing mining company and a vertically integrated producer of refined copper. It operates major mining complexes in Rajasthan, Jharkhand, and Madhya Pradesh, producing and selling refined copper and by-products.
RBL Bank
RBL Bank Limited is a private sector bank in India, offering services across five business verticals: Corporate Banking, Commercial Banking, Branch and Business Banking, Retail Assets, and Treasury Operations. It serves 12.91 million customers through 517 branches and 414 ATMs across 28 states and Union Territories.
Manappuram Finance
Incorporated on July 31, 1992, Manappuram received its business commencement certificate that year. By 1999, the company diversified into consumer durables and two-wheeler finance. It reaffirmed MA ratings for its debenture programs in 2000. Mr. I Unnikrishnan became Managing Director in 2006, followed by Mr. Ashvin Chadda’s appointment in 2008.
F&O Ban Stocks List – FAQs
How Does An F&O Ban Work?
An F&O ban works by restricting the initiation of new futures and options positions for specific stocks. Traders can only square off existing positions. This limitation is enforced when the market-wide position limit exceeds 95%, aiming to curb excessive speculation and maintain market stability.
What are the criteria for a ban list in F&O?
The criteria for a ban list in F&O include stocks exceeding 95% of the market-wide position limit. This limit is calculated based on the total number of open interest positions. Once breached, new F&O positions cannot be initiated, but existing ones can be squared off.
When does trading resume once it is in the F&O ban list?
Trading in F&O for a stock resumes once its open interest falls below 80% of the market-wide position limit. This reduction indicates decreased speculative activity, allowing the stock to exit the ban list, and new futures and options positions can be initiated again.
Why are stocks banned in F&O?
Stocks are banned in F&O to prevent excessive speculation and market manipulation. When open interest exceeds 95% of the market-wide position limit, trading restrictions are imposed to maintain market integrity, ensuring stability and protecting investors from potential volatility and systemic risks.
Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.
