Comment on Policy on settlement of compulsory delivery derivative contracts — Update Oct 2019
commented on
30 Oct 2019, 12:03 PM
Kapil,
Your position is currently OTM, so there is no additional delivery margin blocked. If it remains this way till expiry, there won’t be any physical delivery obligation either.
If your position turns, ITM(Yes Bank spot above 65) before the expiry, margin block of 50% of the contract value will be applicable. After expiry, you will receive stocks equivalent to the lot size of the contract.