Comment on Policy on settlement of compulsory delivery derivative contracts

Saba commented on 20 Jul 2019, 07:04 PM

Don’t panic sir,if you have F&O contract which is in the money than you need to maintain 100% margin Example: If you have Federal bank contract 95CE 1Lot,CMP100Rsx7000Lot size you need to have 7Lacs in your Zerodha trading account else your contract may get auto squaredoff (50/50 chance) .else if it is OTM than you can wait and watch but once it goes ITM you have to maintain the margin.For ITM contracts the margin will be used for taking physical delivery of shares in case you are waiting and watching till expiry Thursday 3.30pm. Recently introduced by SEBI to prevent huge speculations in the expiry week.

View the full comment thread »