New Delhi, Aug. 21 -- Retail participation in India's equity derivatives segment declined 18 per cent year-on-year to 87.5 lakh active individual traders in FY26 from 106.2 lakh in FY25, marking the first annual decline in the trader base since FY16, according to a SEBI study released on Thursday.

The survey noted "Active individual1 traders in the Equity Derivatives Segment (EDS) declined 18% year-onyear, from 106.2 lakh in FY25 to 87.5 lakh in FY26, the first year-on-year decline in the trader base since FY16."

The Securities and Exchange Board of India (SEBI), in its study said the decline in participation was more pronounced among smaller traders with annual turnover below Rs 10,000.

The report said FY26 marked the first reversal i...