{"id":12214,"date":"2026-05-22T13:38:56","date_gmt":"2026-05-22T13:38:56","guid":{"rendered":"https:\/\/lemonn.co.in\/blog\/glossary\/lot-size\/"},"modified":"2026-05-22T13:38:56","modified_gmt":"2026-05-22T13:38:56","slug":"lot-size","status":"publish","type":"glossary","link":"https:\/\/lemonn.co.in\/blog\/glossary\/lot-size\/","title":{"rendered":"Lot Size"},"content":{"rendered":"<p><a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/lot-size\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>Lot size<\/a> is the minimum number of <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/shares\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>shares<\/a> (or units) you must trade in one transaction in a particular instrument. In Indian <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/equity\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>equity<\/a> cash you can buy a single share, but in futures, options, and certain other products you must trade in multiples of the lot specified by the exchange. Knowing the lot size is essential because it directly determines the capital, margin and risk involved.<\/p>\n<div><strong>Key takeaways:<\/strong>\n<ul>\n<li>Lot size is the minimum <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/trading\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>trading<\/a> quantity set by the exchange for a contract.<\/li>\n<li>Cash equity has a lot size of one share, but F&amp;O, currency and commodities have larger lots.<\/li>\n<li><a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/index\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>Index<\/a> F&amp;O lot sizes are revised periodically by <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/sebi\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>SEBI<\/a> to keep contract value in a target range.<\/li>\n<li>Lot size &#xD7; price = notional contract value, which is the basis for margin calculations.<\/li>\n<li><a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/ipo\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>IPO<\/a>s also have a minimum lot (often 14&ndash;20 shares) so retail investors apply in lots.<\/li>\n<\/ul>\n<\/div>\n<h2 id=\"where-lot-size-applies\">Where lot size applies<\/h2>\n<p>For cash equity, you can buy or sell as little as one share, so the concept rarely matters there. Lot size becomes important in:<\/p>\n<ul>\n<li>Equity F&amp;O &mdash; <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/nifty\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>Nifty<\/a>, Bank Nifty, FinNifty and stock futures\/options have predefined lot sizes.<\/li>\n<li>Currency F&amp;O &mdash; USD\/INR has a lot of 1,000 USD; EUR\/INR is 1,000 EUR.<\/li>\n<li><a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/commodity\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Commodity<\/a> F&amp;O &mdash; Gold mini is 100 grams, silver micro is 1 kg, crude is 100 barrels, and so on.<\/li>\n<li>IPOs &#x2014; minimum bid is one lot, with size set so the application is roughly &#x20B9;14,000&#x2013;15,000.<\/li>\n<\/ul>\n<h2 id=\"why-exchanges-fix-a-lot-size\">Why exchanges fix a lot size<\/h2>\n<p>Lot sizes serve two purposes. First, they standardise contracts &#x2014; every buyer and seller knows exactly how much they are exchanging. Second, they keep contract values within a band, ensuring <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/derivatives\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">derivatives<\/a> remain affordable for serious traders while preventing the segment from becoming a casino for very small bets.<\/p>\n<p>SEBI&#x2019;s framework targets a notional value of around &#x20B9;5&#x2013;10 lakh per contract for index <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/derivative\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">derivative<\/a>s. As Nifty or Bank Nifty rises, the lot size is gradually reduced to keep that value in range.<\/p>\n<h2 id=\"examples-you-should-remember\">Examples you should remember<\/h2>\n<table>\n<tr>\n<th>Instrument<\/th>\n<th>Approximate lot size (2025)<\/th>\n<th>Approx. contract value<\/th>\n<\/tr>\n<tr>\n<td>Nifty 50 futures<\/td>\n<td>25<\/td>\n<td>Index &#xD7; 25<\/td>\n<\/tr>\n<tr>\n<td>Bank Nifty futures<\/td>\n<td>15<\/td>\n<td>Index &#xD7; 15<\/td>\n<\/tr>\n<tr>\n<td>Reliance futures<\/td>\n<td>250<\/td>\n<td>Price &#xD7; 250<\/td>\n<\/tr>\n<tr>\n<td>USD\/INR futures<\/td>\n<td>1,000 USD<\/td>\n<td>~&#x20B9;83,000+<\/td>\n<\/tr>\n<tr>\n<td>Gold mini futures (MCX)<\/td>\n<td>100 grams<\/td>\n<td>~&#x20B9;6 lakh<\/td>\n<\/tr>\n<\/table>\n<p>Always check the current lot size on your <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/broker\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>broker<\/a> or <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/nse\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>NSE<\/a>\/<a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/bse\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>BSE<\/a> before trading &mdash; exchanges update them periodically.<\/p>\n<h2 id=\"margin-and-lot-size-go-hand-in-hand\">Margin and lot size go hand-in-hand<\/h2>\n<p>Your margin requirement is derived from the contract value, which is lot size &#xD7; price. A 25-share Nifty lot at index level 22,000 has a notional value of &#x20B9;5.5 lakh. The exchange&#x2019;s SPAN + <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/exposure-margin\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">Exposure margin<\/a> on this might come to about &#x20B9;1.1&#x2013;1.3 lakh under NRML, or roughly half that under MIS.<\/p>\n<h2 id=\"risk-implications\">Risk implications<\/h2>\n<p>Because lot size is fixed, you cannot fine-tune position size below one lot. If your risk plan suggests a position worth &#8377;2 lakh in Nifty but the lot value is &#8377;5.5 lakh, you either skip the trade or take more risk than planned. New F&amp;O traders often underestimate this constraint and end up over-<a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/leverage\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">leverage<\/a>d.<\/p>\n<p>To manage this, beginners should start with mini contracts where available, or stick to options with smaller <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/premium\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>premium<\/a>s until they get comfortable.<\/p>\n<h2 id=\"lot-size-changes-and-contract-continuity\">Lot size changes and contract continuity<\/h2>\n<p>When SEBI announces a lot-size revision, existing open contracts continue with the old lot size until expiry; new contracts use the revised lot. This avoids forcing traders to recalibrate positions mid-cycle. The revised lot applies cleanly from the next series.<\/p>\n<h2 id=\"frequently-asked-questions\">Frequently asked questions<\/h2>\n<div>\n<h3 id=\"is-lot-size-the-same-on-nse-and-bse-for-the-same-stock\">Is lot size the same on NSE and BSE for the same stock?<\/h3>\n<p>Yes. SEBI mandates uniform lot sizes for stock derivatives across exchanges to avoid <a class=\"glossaryLink\" href=\"https:\/\/lemonn.co.in\/blog\/glossary\/arbitrage\/\" data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]' tabindex=\"0\" role=\"link\">arbitrage<\/a> gaps.<\/p>\n<h3 id=\"can-i-trade-a-fraction-of-a-lot\">Can I trade a fraction of a lot?<\/h3>\n<p>No. You must trade in whole multiples of the lot &mdash; one lot, two lots, etc. There are no half-lot trades in standard F&amp;O.<\/p>\n<h3 id=\"why-does-nifty-options-use-the-same-lot-as-nifty-futures\">Why does Nifty options use the same lot as Nifty futures?<\/h3>\n<p>Both derive from the same underlying index. Using identical lots simplifies <a class=\"glossaryLink\"  href=\"https:\/\/lemonn.co.in\/blog\/glossary\/hedging\/\"  data-gt-translate-attributes='[{\"attribute\":\"data-cmtooltip\", \"format\":\"html\"}]'  tabindex='0' role='link'>hedging<\/a> and risk calculation.<\/p>\n<h3 id=\"where-can-i-check-the-current-lot-size\">Where can I check the current lot size?<\/h3>\n<p>On NSE\/BSE websites or directly inside your broker&#x2019;s order window. Lemonn shows the current lot beside the contract name.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Lot size is the minimum number of shares (or units) you must trade in one transaction in a particular instrument. In Indian equity cash you can buy a single share, but in futures, options, and certain other products you must trade in multiples of the lot specified by the exchange. Knowing the lot size is [&#x2026;]<\/p>\n","protected":false},"author":3,"featured_media":0,"menu_order":0,"template":"","meta":{"_uag_custom_page_level_css":"","footnotes":""},"class_list":["post-12214","glossary","type-glossary","status-publish","hentry"],"blocksy_meta":[],"uagb_featured_image_src":{"full":false,"thumbnail":false,"medium":false,"medium_large":false,"large":false,"1536x1536":false,"2048x2048":false,"web-stories-poster-portrait":false,"web-stories-publisher-logo":false,"web-stories-thumbnail":false},"uagb_author_info":{"display_name":"Ashutosh","author_link":"https:\/\/lemonn.co.in\/blog\/author\/ashu\/"},"uagb_comment_info":0,"uagb_excerpt":"Lot size is the minimum number of shares (or units) you must trade in one transaction in a particular instrument. In Indian equity cash you can buy a single share, but in futures, options, and certain other products you must trade in multiples of the lot specified by the exchange. Knowing the lot size is&hellip;","_links":{"self":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary\/12214","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary"}],"about":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/types\/glossary"}],"author":[{"embeddable":true,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/users\/3"}],"version-history":[{"count":0,"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/glossary\/12214\/revisions"}],"wp:attachment":[{"href":"https:\/\/lemonn.co.in\/blog\/wp-json\/wp\/v2\/media?parent=12214"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}