F&O Across Asset Classes: Indices, Stocks, Commodities & Currency
Futures and options trade across indices, stocks, commodities and currencies in India. Here's what each offers, where they trade, and how they differ.
Short answer: In India you can trade F&O across four main asset classes — index, stock (equity), commodity and currency derivatives. Index and stock F&O trade on the NSE/BSE; commodities on MCX/NCDEX; currencies on the NSE/BSE currency segment. Each has different liquidity, volatility and participants.
The four asset classes
| Asset class | Examples | Where it trades |
|---|---|---|
| Index | NIFTY, BANKNIFTY, SENSEX, FINNIFTY | NSE / BSE |
| Stock (equity) | Reliance, HDFC Bank, Infosys F&O | NSE / BSE |
| Commodity | Crude oil, gold, silver, natural gas | MCX / NCDEX |
| Currency | USDINR, EURINR, GBPINR | NSE / BSE currency |
How they differ
- Index F&O — the most liquid and popular for options selling/buying; broad-market exposure, no single-stock surprise.
- Stock F&O — single-name exposure; can gap on company news; some contracts physically settled.
- Commodity F&O — driven by global supply/demand and the dollar; different trading hours (MCX runs late).
- Currency F&O — macro/rate driven; tighter ranges, useful for hedging forex exposure.
Choosing where to trade
Beginners often start with index options for liquidity and diversification. Commodities and currencies suit traders with a view on those specific markets or a need to hedge real exposure. Whatever you trade, the Greeks, margin and risk rules apply the same way.
FAQ
Which asset class is best for beginners? Index options are usually the easiest entry — deep liquidity, tight spreads and no single-stock event risk.
Do commodities have different timings? Yes — MCX commodity sessions run later into the evening than equity markets, which affects when you manage positions.
Trade index, stock, commodity and currency derivatives from one Gravity Algo terminal. Explore → · Start free →.