Shankar Sharma Hails Budget's STT Hike on Derivatives, Calls F&O 'Destructive for Youth'

• Market veteran Shankar Sharma praised the government's decision to increase Securities Transaction Tax (STT) on derivatives, calling it the Budget's most significant proposal.
• Sharma stated on social media platform X that excessive participation in derivatives trading negatively impacts India's youth and long-term wealth creation.
• He described the futures and options (F&O) market as a "pure wealth transfer" from retail traders to specialized derivatives brokers.
• Sharma argued that F&O adds zero value to India and deducts inestimable value, suggesting it should be discouraged through higher taxation.
• Regulator SEBI has previously implemented measures to curb rising F&O trading volumes, including restrictions on weekly expiry and increased margin requirements.

Why It Matters: Shankar Sharma applauds the STT hike on derivatives, viewing F&O as harmful to youth and wealth creation.