Query: Being a new investor I would like to know about the term F&O and Curb used in the share market. A.K.Agarwal
Thebullishtrends: The term Curb means trading is any trading conducted outside the Exchange's regulations (as they were done after hours, along the street curb).
F&O means, futures and options. So the Futures and Options segment of the NSE were trading inside of the NSE regulations..which isn't illegal as long as they were traded within the Regulations of the regulatory securities body of India. Future trading can be done on stocks as well as on Indices like IT index, Auto index, Pharma index etc. Lets first understand what the meaning of futures trading is. In simple language one future contract is group of stocks (one lot) which has to be bought with certain expiry period and has to be sold (squared off) within that expiry period.Suppose if you buy futures of Wipro of one month expiry then you have to sell it within that one month period.Important - Future contract get expires at every last Thursday of every month.
