Comment on Policy on settlement of compulsory delivery derivative contracts — Update Oct 2019
commented on
30 Oct 2019, 11:51 AM
Shrikant,
The position is still OTM, so there will be no margin block. Once it turns ITM(below 610), delivery margin block of 50% of the contract value will apply(610*1000*0.5=3,05,000).
The position will be squared off anytime during the day due to margin shortfall.