Futures and options are predominantly traded on the NSE and the BSE. Trading volumes on the NSE are much higher than on the BSE. Even in NSE, the options volumes are much larger than in futures. While futures are a right and an obligation on a stock or an index, the option is a right without an obligation on a stock or the index. The beauty of futures & options is that they are two-directional and can be traded on the long side as well as the short side. Futures and options can be traded on the stock exchanges like any other equity product. The only difference is that there is no delivery in futures and options and these are just contracts. All futures and options in India are cash settled. The only exception is selected stock options which convert into compulsory delivery in case they are exercised or left to expiry.