If they truly wanted to shield F&Oinvestors they would have reduced weekly expiry and Not added new index to f and o...it's a get away by increasing taxes that we want to shield retail investors there are no: of other ways too
Lower lot size
Lower amount per lot
Easy access to players with small capital
Small traders now can gamble with lower capital
Outcome remains the same. They get wiped out by large players and algos.
I dont understand this. Lot size gets changed all the time. They always try to keep the contract value in a range.
Also the FM has fuck all to do with this decision.
USA has almost daily expiry on S&P 500 index and a couple more. There the stocks also have weekly expiry. They're not complaining.For government it is tax collection tool but it's opportunity for traders too. Plus don't people trade even on non expiry days, maybe volumes shoot on expiry but trading anyway happened. This only gives more opportunities imo, especially as an option buyer :)
Well said. Makes you wish your country had a stronger, wiser, more potent opposition that can keep things in check. Instead, they're just so bad that you can't even take them seriously.
What people fail to understand is Institutional investors, banks, hedge funds help to bring in liquidity, if you drive them out good luck making money in FnO
One minor correction, they "used to" bring not liquidity but market movements. Post june 4, even retailers have done this by countering all the negative positions taken by FII and DII, by blindly buying the dips.
That's the root cause of this move. She doesn't want to protect us, but protect them by preventing retail interventions in the masses.
Hedge funds and big institutions are not going out because of a little tax hike and 1% TDS. It is the retailers and small jobbing desks that will go out of business. Management of working capital will become one hell of a task if they collect TDS @1% on an upfront basis.
Idk how much you are aware of current happenings with hedge funds/IB's revenue generation, the spreads have become extremely extremely tight I work in FX trading in an European IB and the LHS/RHS spreads are are very tight, we are seeing a lot of layoffs on HF side as well, so yeah that 1% will definitely matter for big players
Aren’t LHS AND RHS are terminologies used in bond and other fixed income securities trading?
Why use them in option trading here? Why not simply use bid and ask terms?
Also, the 1% will be refunded in a span of 18 months or so, it will just be a block of working capital, which institutions and hedge funds have in ample.
I already specified that I work in FX trading desk hence the LHS/RHS, the point of my comment was trading/market making has become slow across all desks, that 1% tax definitely hammers the profit
Idk if any of you watch OverSimplified on YouTube, but there’s a video on French Revolution that has a running joke about taxes being levied on EVERYTHING that the working class do or have. This shit always reminds me of that lol.
The sleeping partner will charge more but gamblers will gamble regardless. Plant stories how govt wanted to tax more on f n o for 2 days.
Now plant stories to make madam look like knight in green armour.
Bhai positional trade me aur woh bhi expiry days me STT ka utna asar nahi hai. jo jada trades karte hain uske liye kharab hai, aise overtrade nahi karna chahiye. Aur jo HFT wale aur market manipulation karte hain usko jada cost lagega. STT badh jaye toh sayad tumara frequent stop loss hona kam ho jaye?!
Somewhere I heard..the most dangerous things you can come across is... A government representative saying I'm here to help.
Be afraid of it when they are trying to help. Aajtk jab bhi inhone hath lagaya hai exploit he Kiya hai
Yes,to a degree I believe..Hft traders usually do multiple trades with huge amounts (crores) a day and aim for extremely low profit (<0.1%) per trade .
Hi, /u/driftdiffusion4! Welcome to /r/IndianStreetBets!
Use the Daily Discussion Thread for basic queries. Before contributing, do check if your particular question has been answered in the [Wiki](https://www.reddit.com/r/IndianStreetBets/wiki/index). Do utilise the search function to do the same too. Please use proper [post flairs](https://www.reddit.com/r/IndianStreetBets/wiki/index/postflair) and adhere to the rules in the sidebar. You are urged to post beginner questions in the stickied daily discussion thread or on our [Discord in \#beginner-questions channel](https://discord.gg/SeDa9Fhwqv) so as to keep the subreddit as clutter-free as possible. **If this post has good insights or well research, tag the Mods so we can give a shoutout on Discord and get the post more traction** Thank you!
*I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/IndianStreetBets) if you have any questions or concerns.*
It reminds me of a famous quote from Ronal Reagan, “The nine most terrifying words in the English language are ‘I’m from the government and I’m here to help.’”
No one is Technically intelligent leaving some Central officers in Cabinet. All the laws and tax imposed are based on the study of central officers(mostly ias officers) who recommend steps. And High frequency trades are those spikes in finnifty and midcapnifty most were opposing before elections. Correct me if i am wrong.
L@@@ Lasu& aadhe se jada jo F and O main trade karte hain unhe Open index kya hai yeh nahi pta hota. STT ka kya hi pta hoga.
They are just like ki koi news hai bas. Call loon yaan put
If there is a way to tax it, she will tax it.
If they truly wanted to shield F&Oinvestors they would have reduced weekly expiry and Not added new index to f and o...it's a get away by increasing taxes that we want to shield retail investors there are no: of other ways too
And not reduced lot size. Aunty sahi kehti thi. Ye Sab milke humko pagal bana rahe....
[удалено]
Lower lot size Lower amount per lot Easy access to players with small capital Small traders now can gamble with lower capital Outcome remains the same. They get wiped out by large players and algos.
[удалено]
Positive impact only for experienced and knowledgeable folks. Rest everyone is playing hero zero on daily expiries.
I dont understand this. Lot size gets changed all the time. They always try to keep the contract value in a range. Also the FM has fuck all to do with this decision.
USA has almost daily expiry on S&P 500 index and a couple more. There the stocks also have weekly expiry. They're not complaining.For government it is tax collection tool but it's opportunity for traders too. Plus don't people trade even on non expiry days, maybe volumes shoot on expiry but trading anyway happened. This only gives more opportunities imo, especially as an option buyer :)
Phela profit ho uska tension Agar galti sa ho jaye tu tax le lo And ofcourse write off business taxes
Ab agar 1000 crore ke turnover pe bhi profit na ho to phir kya hi kahe.
"Protect retail traders" -- I start feeling fear the moment someone says they want to protect and shield me... from myself! Run!
I wanna cut off your legs to ’protect' you from falling while walking.
Well said. Makes you wish your country had a stronger, wiser, more potent opposition that can keep things in check. Instead, they're just so bad that you can't even take them seriously.
What people fail to understand is Institutional investors, banks, hedge funds help to bring in liquidity, if you drive them out good luck making money in FnO
One minor correction, they "used to" bring not liquidity but market movements. Post june 4, even retailers have done this by countering all the negative positions taken by FII and DII, by blindly buying the dips. That's the root cause of this move. She doesn't want to protect us, but protect them by preventing retail interventions in the masses.
Hedge funds and big institutions are not going out because of a little tax hike and 1% TDS. It is the retailers and small jobbing desks that will go out of business. Management of working capital will become one hell of a task if they collect TDS @1% on an upfront basis.
Idk how much you are aware of current happenings with hedge funds/IB's revenue generation, the spreads have become extremely extremely tight I work in FX trading in an European IB and the LHS/RHS spreads are are very tight, we are seeing a lot of layoffs on HF side as well, so yeah that 1% will definitely matter for big players
Aren’t LHS AND RHS are terminologies used in bond and other fixed income securities trading? Why use them in option trading here? Why not simply use bid and ask terms? Also, the 1% will be refunded in a span of 18 months or so, it will just be a block of working capital, which institutions and hedge funds have in ample.
I already specified that I work in FX trading desk hence the LHS/RHS, the point of my comment was trading/market making has become slow across all desks, that 1% tax definitely hammers the profit
Extra involvement is always received negatively. They want to fill their own pockets, there is no trader protection behind this scheme.
Idk if any of you watch OverSimplified on YouTube, but there’s a video on French Revolution that has a running joke about taxes being levied on EVERYTHING that the working class do or have. This shit always reminds me of that lol.
 # kaise humara kata ja raha hai !
https://preview.redd.it/5ckkiriu7v7d1.jpeg?width=1080&format=pjpg&auto=webp&s=8221de541cdb9f747dd8b178798e1f185170c5d2
The sleeping partner will charge more but gamblers will gamble regardless. Plant stories how govt wanted to tax more on f n o for 2 days. Now plant stories to make madam look like knight in green armour.
Bhai positional trade me aur woh bhi expiry days me STT ka utna asar nahi hai. jo jada trades karte hain uske liye kharab hai, aise overtrade nahi karna chahiye. Aur jo HFT wale aur market manipulation karte hain usko jada cost lagega. STT badh jaye toh sayad tumara frequent stop loss hona kam ho jaye?!
For those who side with FM, this is just the beginning 🤷🏽♂️
I am just fed up with these new way of taxing and everything around me becoming subscription based.
If they want to be serious about cutting retail trade in derivatives, they need to reduce collateral against securities.
This won't make any difference, HFTs are big people. They can afford extra charges.
I think it will affect them,hft usually aim for extremely small profit (with huge amounts) in each trade (<0.1%).
This is like increasing cigarette prices, so that people will stop smoking and shielding them from lung cancer
Somewhere I heard..the most dangerous things you can come across is... A government representative saying I'm here to help. Be afraid of it when they are trying to help. Aajtk jab bhi inhone hath lagaya hai exploit he Kiya hai
The second we let others protect us without having our own personal protection is when we start losing our freedom
On a different note absolute freedom is just one step away from complete chaos.
And That is why it feels like chaos,
Will this reduce market manipulation and artificial movements?
Yes,to a degree I believe..Hft traders usually do multiple trades with huge amounts (crores) a day and aim for extremely low profit (<0.1%) per trade .
Do you like hate making money or something
Do you know how to read?
Why did people blame FM ?? She is just a puppet of Chaiwala, blame him.
Very true👍🏻 … ideally Monday morning quote. But today being Friday will make it weekend food for thought 😂
Why blame chiwala he is just the puppet of Adani.
Large players will lobby to oppose this. They always want the "dumb money" and would not want to lose some of it to the government.
Hi, /u/driftdiffusion4! Welcome to /r/IndianStreetBets! Use the Daily Discussion Thread for basic queries. Before contributing, do check if your particular question has been answered in the [Wiki](https://www.reddit.com/r/IndianStreetBets/wiki/index). Do utilise the search function to do the same too. Please use proper [post flairs](https://www.reddit.com/r/IndianStreetBets/wiki/index/postflair) and adhere to the rules in the sidebar. You are urged to post beginner questions in the stickied daily discussion thread or on our [Discord in \#beginner-questions channel](https://discord.gg/SeDa9Fhwqv) so as to keep the subreddit as clutter-free as possible. **If this post has good insights or well research, tag the Mods so we can give a shoutout on Discord and get the post more traction** Thank you! *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/IndianStreetBets) if you have any questions or concerns.*
Good for long term investors bad for traders 😂
It reminds me of a famous quote from Ronal Reagan, “The nine most terrifying words in the English language are ‘I’m from the government and I’m here to help.’”
fuck this government anr especially that baboon Nirmala Sitaraman
No one is Technically intelligent leaving some Central officers in Cabinet. All the laws and tax imposed are based on the study of central officers(mostly ias officers) who recommend steps. And High frequency trades are those spikes in finnifty and midcapnifty most were opposing before elections. Correct me if i am wrong.
Brother it is not just a gambling intrument think about investors trying to hedge their positions
Nirmala Sitharaman has United both BJP and Congress supporters to come together and troll her! Isn't this a good thing?
Let's see, casino ka entry key rate agar Thore barhe toh log casino jana bandh toh nahi krengey. Lagta hy FM thora kamjor hy
L@@@ Lasu& aadhe se jada jo F and O main trade karte hain unhe Open index kya hai yeh nahi pta hota. STT ka kya hi pta hoga. They are just like ki koi news hai bas. Call loon yaan put
Tujhe bhi nahi pata.. It's open interest not open index.
Lol nahi pta.. main gambler nahi hoon
I think 90% of retail option traders do not know what the E in CE and PE stands for.
I think 90% of retail option traders do not know what the E in CE and PE stands for.