Negative impactEconomy HIGH IMPACT

'Never Forced Something Bad': Nithin Kamath Defends F&O Stance As SEBI Flags 90% Retail Losses

NDTV Profit 53 min ago·21 Aug 2026, 1:48 pm

Zerodha co-founder Nithin Kamath has pushed back against recent regulatory concerns regarding the futures and options (F&O) segment. In response to data from market regulator SEBI highlighting high losses for retail traders in this segment, Kamath argued that the exchange never forces investors to trade in F&O. He emphasized that the product is designed for experienced participants and that users must accept the inherent risks involved.

This exchange of views is significant for investors as it highlights the ongoing debate between investor protection and market accessibility. While SEBI focuses on the financial risks of speculative trading, Kamath’s stance underscores the principle of informed choice. It reminds retail investors that trading derivatives carries substantial risk and requires a solid understanding of market mechanics.

For now, the focus remains on how SEBI will implement its proposed restrictions. Investors should watch for upcoming guidelines that may limit the number of F&O contracts held by retail traders. This could change how margin is calculated and who can participate in these high-risk trades, potentially reshaping the retail trading landscape in India.

Key takeaways

  • Category: Economy.
  • AI reads the tone as negative (potentially bearish) for the stock.
  • Flagged as a high-impact, market-moving story.

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Summary & analysis by DocStoX. Full story at NDTV Profit.

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