BSE tops NSE in April 2026 F&O turnover shift on fees

What changed in April for India’s derivatives market

The Bombay Stock Exchange (BSE) moved ahead of the National Stock Exchange (NSE) in notional futures and options (F&O) turnover in April, a first in the competitive race between India’s two main exchanges. BSE’s average daily turnover (ADT) in the F&O segment rose nearly 20% in April to ₹26,907,000 crore. In the same month, NSE’s ADT dropped about 26% to ₹21,600,000 crore. The change reshaped market share in notional turnover, even as NSE continued to dominate the more revenue-relevant measure of options premium turnover.

The notional turnover numbers: BSE takes the lead

In March, BSE held 43.6% of notional F&O turnover and NSE held 56.4%. By April, BSE’s share increased to 55.4%, while NSE’s share fell to 44.6%. The shift reflects how quickly trading flow can move when costs, product focus, and broader market conditions change together. It also highlights that notional turnover, while useful for activity comparisons, does not always track exchange profitability in the same direction as premium-based measures.

Fees and pricing: a clear lever behind the shift

One driver cited for BSE’s gain is its lower transaction fees in derivatives. BSE charges zero fees on futures contracts, compared with NSE’s 0.00183%. On stock options, BSE’s fee is 0.005% versus NSE’s 0.0355%. For active traders and high-frequency participants, fee differences of this magnitude can alter venue choice, particularly when overall risk appetite is moderating and participants are more sensitive to costs.

Premium turnover still favours NSE

Despite BSE leading in notional turnover in April, NSE remained far ahead in options premium turnover, which is typically considered a closer proxy for monetisable activity in options. NSE held a 66% share of options premium turnover, while BSE had 34%. This split matters because premium turnover reflects the actual premium exchanged in options, rather than the notional value tied to contract size. The April crossover in notional turnover therefore does not automatically imply a similar shift in the most profitable part of the derivatives business.

Two-year premium growth shows BSE’s fast catch-up

BSE’s F&O segment has also expanded rapidly in premium terms over the past two years, even as the market operated under restrictive regulatory measures introduced by the Securities and Exchange Board of India (Sebi). BSE recorded 1,539% growth in average daily premium turnover over the past two years. As of last Tuesday, BSE’s average daily premium turnover stood at ₹15,325 crore, a 112% rise from the end of 2024. The same figure was ₹935 crore at the end of 2023, showing how quickly the base has scaled.

NSE’s premium trends and broader market moderation

NSE’s average daily premium turnover declined 24.3% from its 2024 peak of ₹68,280 crore. Combined premium turnover across both exchanges fell 11.2%, pointing to moderation in overall derivatives activity rather than a simple one-way migration. In notional terms too, the industry recorded its first decline in average daily turnover in 2025, falling 16% to ₹38,956,000 crore. That followed sharp expansions of 58% in 2024 and 134.8% in 2023, showing the 2025 dip came after a strong run-up.

Notional trends: BSE up, NSE down

Within the notional decline seen at the industry level in 2025, the two exchanges diverged sharply. NSE’s notional turnover dropped 35.3%, while BSE’s notional turnover surged 51%. A BSE spokesperson attributed the momentum partly to the exchange being a relatively new entrant in active derivatives, noting that Sensex derivatives were relaunched less than three years ago and that recent growth reflects a catch-up phase responding to market demand. Separately, the context also remains challenging for NSE, with its F&O turnover reported to have dropped 18% in FY26.

Intraday spike illustrates how concentrated activity can be

On one recent Tuesday, equity derivatives turnover on BSE surged to record highs, driven by heavy activity in two Sensex options contracts. BSE’s F&O turnover stood at ₹336,400 crore that day, exceeding NSE’s ₹329,066 crore. Index options contributed about ₹334,000 crore to BSE’s total, and two contracts, the Sensex 24,400 put and 24,600 put of the June series, accounted for roughly ₹313,000 crore. That was about 93% of BSE’s total F&O turnover for the day, underscoring how concentrated volumes can materially move daily comparisons.

India’s global derivatives footprint remains outsized

On a global comparison by contract volume, India’s exchanges remain among the largest. Futures Industry Association (FIA) data cited showed 8,484 million contracts traded through NSE on April 24, described as the highest among global stock exchanges, with BSE following with almost 2,224 million contracts in the same month. NSE’s figure was described as a year-on-year growth rate of 92%, though the same source noted the comparison is not exactly like-for-like for BSE due to the timing of its growth phase. Separately, NSE and BSE were described as together accounting for more than 80% of global turnover in April, and another comparison put their combined share at nearly 81% of global equity derivatives turnover for April 2024.

Key numbers at a glance

Premium turnover: scale-up versus peak-to-decline

What the April crossover signals

BSE’s April lead in notional F&O turnover shows how sensitive derivatives flow is to fees and trading conditions, particularly when regulators tighten risk controls and the overall market cools. At the same time, NSE’s stronger position in premium turnover indicates it continues to command the more value-dense part of options activity. The industry-wide decline in notional ADT in 2025, alongside the combined 11.2% fall in premium turnover, suggests the fight for share is happening amid moderation rather than a uniformly expanding market.

Conclusion

April marked a visible swing in India’s derivatives scoreboard, with BSE moving ahead of NSE in notional F&O ADT and market share, supported by lower fees and fast growth from a smaller base. NSE still led in options premium turnover and retained the larger share of that segment. With Sebi’s restrictive measures and signs of cooling in overall derivatives activity, the next set of monthly exchange data will be closely tracked for whether April was a one-off shift or a sustained change in trading behaviour.