Comment on Policy on settlement of compulsory delivery derivative contracts

Strangulating Options Trading commented on 09 Jul 2019, 01:59 PM

I understand very few clients would like to put 80% of Physical Values to do Options trading on last day of expiry. Better for them is to trade in MIS Equity or Rolled-over Futures by pledging just 20%-30% of value !!

And how can the liquidity pick up if the largest broker of India is strangulating the Options Trade in last week !
Both these paranoid safeguards – by Exchange and by Zerodha are killing the last week Options trade. I wonder what was wrong in Exercising the Options or letting them expire Worthless, as was the practice earlier, and is the practice in rest of Developed world?

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