Comment on Policy on settlement of compulsory delivery derivative contracts
commented on
16 Feb 2019, 10:58 PM
In the above article, it is stated that If the long on Option is deep ITM (ie below CTM) then it is manadatoey to take physical delivery.
1. In that case don’t the option buyer have option not to exercise?
2. In same case, If no money in account to exercise, can it be made ‘Do not exercise’ ( even if deep CTM)?