Last updated: 20 October 2026 How many retail traders lose money on futures and options in India? SEBI’s latest study of individual traders in the equity derivatives segment covers the year to March 2026 and the four years before it. Here are its main numbers in one place.
87.7% of individual traders lost money in India’s equity futures and options in the year to March 2026 (FY26), after costs. That’s down from 90.9% in FY25 and 91.1% in FY24, according to SEBI.
Total losses were ₹91,685 crore, about $9.8 billion at the rate on 31 March 2026, down 18% from ₹1.12 lakh crore in FY25. The average loss per trader rose slightly to ₹1.17 lakh (about $1,247).
Fewer people are trading. Active individual traders fell about 20%, from 98.1 lakh (9.81 million) to 78.6 lakh (7.86 million), and new entrants fell about 40%. SEBI warns that the lower loss share partly reflects this drop and doesn’t necessarily mean outcomes improved.
Prop desks and algos took the other side. Proprietary traders made the biggest gross trading profit, about ₹44,000 crore, and 99% of profits for proprietary traders and foreign investors went to firms that used algorithmic orders.
Five years of individual F&O results in India
| Financial year (Apr–Mar) | Individual traders (lakh) | Loss-makers (lakh) | Net result (₹ crore) | Share who lost money | Average net loss per trader (₹) |
|---|---|---|---|---|---|
| FY22 | 42.74 | 38.57 | −40,824 | 90.2% | −95,517 |
| FY23 | 58.35 | 53.49 | −65,747 | 91.7% | −112,677 |
| FY24 | 86.26 | 78.54 | −74,812 | 91.1% | −86,728 |
| FY25 | 98.10 | 89.20 | −111,788 | 90.9% | −113,913 |
| FY26 | 78.60 | 68.90 | −91,685 | 87.7% | −116,654 |
A lakh is 100,000 and a crore is 10 million, so 78.60 lakh traders is 7.86 million people and ₹91,685 crore is ₹916.85 billion. Net results are after transaction costs such as brokerage, exchange fees and taxes. SEBI revised FY25 losses up after adding two more brokers to its sample, from 13 to 15.
Who made money
| Trader group (FY26) | Gross trading profit or loss |
|---|---|
| Proprietary traders | about ₹44,000 crore profit |
| Foreign portfolio investors | about ₹14,000 crore profit |
| Corporates | about ₹8,000 crore profit |
| Mutual funds | about ₹3,000 crore profit |
| Partnership firms / LLPs | about ₹3,000 crore profit |
| Individuals | about ₹72,000 crore loss |
These are gross figures, before transaction costs, from SEBI’s press release. “Proprietary traders” here means trading firms that deal on their own account through Indian brokers, including units owned by global firms. SEBI counts a firm as an “algo entity” if it placed at least one algorithmic order in the year.
Why so many traders lose
- Options buying dominates. Around 92% of individuals’ losses came from options, and nearly 97% of traders mainly bought options. Options sellers were the only strategy group with a positive median return.
- Very short-dated contracts. About 59% of index options turnover was in contracts expiring the same day, and 97% within a week.
- Costs add up. Before costs, 82.1% of traders lost money; after costs, 87.7%. Individuals paid about ₹25,000 crore in transaction costs in FY26.
- Smaller accounts lose more often. Loss rates fell from 93% for traders with no equity holdings to 58% for those with portfolios above ₹10 crore.
- Experience doesn’t fix it. Among traders who lost two years in a row and kept trading, about 90% lost again the next year.
How India compares
India’s figure is higher than the share of retail CFD accounts that lose money at most European and Australian brokers, which brokers must publish. See our CFD broker retail loss rates for those, and retail trading statistics 2026 for other official figures. SEBI’s study notes that two-thirds to nine in ten retail participants lose money in several derivatives markets worldwide.
What this means for prop traders
Prop firm evaluations charge a fee instead of risking your own capital, but the same patterns apply: frequent trading, short-dated options-style bets and costs eat into results. Our prop firm pass rates page shows how few traders get funded.
Sources
- Study: Profitability of Individual Traders in the Equity Derivatives Segment (FY25–FY26), SEBI Department of Economic and Policy Analysis, 20 August 2026 (PDF, pages 5 and 47), accessed 20 October 2026.
- PR No. 50/2026: SEBI Studies Indicate Key Trends in Retail Participation, Trading Behaviour and Profitability in the Equity Derivatives, SEBI, 20 August 2026.
- Indian Rupees to U.S. Dollar (DEXINUS), Federal Reserve H.10 via FRED: 93.83 on 31 March 2026, retrieved 20 October 2026.
Method
All figures are SEBI’s own, quoted as published; we have not recalculated them. Dollar amounts are our conversion at the Fed’s 31 March 2026 noon rate (₹93.83 per dollar) and are approximate.
Caveats
SEBI’s profit and loss figures come from the top 15 brokers, covering about 90% of individual traders, so totals for the whole market are somewhat higher. Indian financial years run April to March.
Equity options in India are cash-settled index and stock options on NSE and BSE. They are not the same products as US futures or forex CFDs, so loss rates aren’t directly comparable.
How to cite this
Prop Data Lab, “India F&O Trader Losses, FY22-FY26 (SEBI)”, updated 20 October 2026, https://propdatalab.com/india-fo-trader-losses-sebi-study-fy26/
The table and the CSV are free to reuse under CC BY 4.0: copy, chart or republish them, commercial use included, as long as you link back to this page. Data: SEBI, cited with attribution.
Common questions
What percentage of F&O traders lose money in India?
According to SEBI, 87.7% of individual equity derivatives traders made a net loss in FY26 (April 2025 to March 2026), down from 90.9% in FY25.
How much did Indian retail traders lose in F&O in FY26?
About Rs 91,685 crore after costs, down from about Rs 1.12 lakh crore in FY25. The average loss per trader was about Rs 1.17 lakh.
Who makes money in Indian F&O?
Proprietary trading firms made the largest gross profit in FY26, about Rs 44,000 crore, followed by foreign portfolio investors at about Rs 14,000 crore. Almost all of their profits went to firms that used algorithmic orders.
Why did fewer traders lose money in FY26?
Partly because about 20% fewer people traded. SEBI cautions that the lower loss share does not necessarily mean outcomes improved.