Comment on Policy on settlement of compulsory delivery derivative contracts
commented on
21 Jan 2019, 11:38 AM
1. Only if the contract ends up in the money on expiry(If Jet Airways closes above 350).
2. If Jet Airways, ends up above 350, you will have to deliver the quantity equal to the lot size. Your effective sell value will be 350.
Re-iterating again, you are obligated to delivery only if Jet Airways closes above 350 on the expiry day