New Delhi, Dec. 5 -- The Securities and Exchange Board of India (Sebi) has proposed revising the calculation method for position limits for trading members in the equity derivatives segment.

The regulator now seeks to align broker-level limits with the delta-based framework introduced for clients earlier this year. A delta-based method converts all futures and options into a single risk-adjusted number, allowing position limits to reflect actual market risk rather than just contract counts. It offers a more accurate way to capture risk across futures and options positions.

In its consultation paper released on Thursday, the regulator said the current system, where client positions are measured using the futures equivalent (FutEq) metric...