Individual cash market participation dips for first time in 5 months: NSE
In the first four months of FY26, 49 lakh new investors joined NSE, with those over 30 years accounting for 56.2 per cent of the inflows.
- Sep 15, 2025,
- Updated Sep 15, 2025 1:59 PM IST
Individual participation in the NSE's equity cash segment slipped for the first time in five months, with numbers dropping to 1.07 crore in August from the September 2024 peak of 1.57 crore. Derivatives trading followed the same trend, as participation slid to 31.9 lakh from the June 2024 high of 52.6 lakh, reflecting the impact of SEBI’s November 2024 curbs on margin requirements, contract sizes and expiries, NSE's Market Pulse suggested.
Participation also moderated, as the number of individual investors trading at least once during the month fell 15.3 per cent MoM to 1.1 crore – marking the first sequential dip in FY26.
As of August 2025, NSE’s registered investor base stood at 11.9 crore, led by Maharashtra (1.9 crore) and Uttar Pradesh (1.4 crore). New registrations eased to 12.3 lakh during the month, down 18.3 per cent sequentially after two months of strong growth, though UP continued to top additions for the 31st month in a row. In the first four months of FY26, 49 lakh new investors joined, with those over 30 years accounting for 56.2 per cent of the inflows, while women formed nearly one-fourth of the base as of July 2025.
The cash market’s turnover saw a sharp fall, dominated by the top 0.2 per cent of investors. Participation declined by 20 lakh month-on-month, with half of the drop stemming from investors in the sub-Rs 1 lakh turnover bracket.
Derivatives showed a similar skew. Options turnover contracted for the third straight month, disproportionately impacting small investors, while futures activity also shrank both sequentially and year-on-year, remaining concentrated among larger players. Trading frequency was highly uneven—about 43 per cent of investors traded on just one day in August, contributing only 0.8 per cent to turnover, whereas 1.3 lakh investors who traded daily made up a sizeable 8.9 per cent.
Over the past 12 months, 3.78 crore investors were active in the markets, of which nearly 76 per cent traded only in the cash segment and 19 per cent in both cash and derivatives. Of the 92 lakh investors who participated in derivatives, 78 per cent also traded equities, while just 20 lakh—barely 1.8 per cent of the base—traded derivatives exclusively, underlining that retail participation in derivatives is far smaller than widely perceived.
Individual participation in the NSE's equity cash segment slipped for the first time in five months, with numbers dropping to 1.07 crore in August from the September 2024 peak of 1.57 crore. Derivatives trading followed the same trend, as participation slid to 31.9 lakh from the June 2024 high of 52.6 lakh, reflecting the impact of SEBI’s November 2024 curbs on margin requirements, contract sizes and expiries, NSE's Market Pulse suggested.
Participation also moderated, as the number of individual investors trading at least once during the month fell 15.3 per cent MoM to 1.1 crore – marking the first sequential dip in FY26.
As of August 2025, NSE’s registered investor base stood at 11.9 crore, led by Maharashtra (1.9 crore) and Uttar Pradesh (1.4 crore). New registrations eased to 12.3 lakh during the month, down 18.3 per cent sequentially after two months of strong growth, though UP continued to top additions for the 31st month in a row. In the first four months of FY26, 49 lakh new investors joined, with those over 30 years accounting for 56.2 per cent of the inflows, while women formed nearly one-fourth of the base as of July 2025.
The cash market’s turnover saw a sharp fall, dominated by the top 0.2 per cent of investors. Participation declined by 20 lakh month-on-month, with half of the drop stemming from investors in the sub-Rs 1 lakh turnover bracket.
Derivatives showed a similar skew. Options turnover contracted for the third straight month, disproportionately impacting small investors, while futures activity also shrank both sequentially and year-on-year, remaining concentrated among larger players. Trading frequency was highly uneven—about 43 per cent of investors traded on just one day in August, contributing only 0.8 per cent to turnover, whereas 1.3 lakh investors who traded daily made up a sizeable 8.9 per cent.
Over the past 12 months, 3.78 crore investors were active in the markets, of which nearly 76 per cent traded only in the cash segment and 19 per cent in both cash and derivatives. Of the 92 lakh investors who participated in derivatives, 78 per cent also traded equities, while just 20 lakh—barely 1.8 per cent of the base—traded derivatives exclusively, underlining that retail participation in derivatives is far smaller than widely perceived.