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Ashishkumar Chauhan, MD and CEO of the Stock Exchange (NSE), on Friday (March 7), advocated for a unified expiry day across exchanges to streamline market operations.
"Many exchanges have expressed their desire to start newer daily expiries. So, it is possible that one or two exchanges are doing it, now you'll have probably five exchanges, it's possible that sixth might come up and say that now we need to have a Saturday trading, also, because they need to have a way, and then Sunday. And probably eighth exchange might ask for a one more addition to the week in terms of the number of days. So, whatever was the SEBI's perspective of reducing daily expiry, I don't think is going to be met if we continue to have multiple expiries on different days. So, for me, if you want to really remove that, you need to have one single day, whichever way."
Speaking at the Moneycontrol Global Wealth Summit 2025, Chauhan stressed the need for a standardised approach to derivatives expiry, which could enhance efficiency and risk management.
This comes days after the NSE announced that the Nifty weekly contracts, which currently expire on Thursday, will now expire on Monday every week.
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The Monthly, Quarterly and Half Yearly contracts, the Nifty Bank monthly and quarterly contracts, and the Financial Services, Nifty Midcap and Nifty Next 50 Monthly Contracts, which expire on the last Thursday of every month, will now expire on the the last Monday.
NSE has made these changes to possibly regain some market share it lost to BSE. It is possible that BSE has a higher market share on Friday and Monday, and hence NSE intends to recapture the same.
Chauhan also discussed risk management in financial markets, categorising risks into transactional and long-term types. Within transactional risks, he pointed out the distinction between centralised and peripheral risks, stating that both need to be assessed continuously to prevent systemic instability. “A risk may emerge in a small corner of the market but can trigger a domino effect,” he noted.
He explained that regulatory approaches must be dynamic, adapting to different market conditions. “When things cool down, one perspective applies; when markets heat up, another is needed. The arguments keep changing because risks evolve. There is no single solution—risk management is an ongoing process,” he said.
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Addressing the role of regulations, Chauhan reiterated his strong support for SEBI’s recent measures to tighten compliance and risk controls. He asserted that while these regulations may seem strict, they are crucial for maintaining market integrity.
"What SEBI has done over the past five or thirty years may appear tough, but they have significantly improved market safety and strengthened investor confidence,” he remarked.
