Comment on Physical delivery of stock F&O & their risksĀ 

Bimal commented on 30 Jan 2022, 12:10 AM

I have sold ITC FEB 200PE for a premium of Rs. 3. I have around 10lk rupees in my account and I am ready to take delivery of ITC stocks below 200. So what will happen if ITC is 195/- on the day of expiry? I understand that I will lose Rs. 2 per lot on the PUT. Then will the shares also be delivered at Rs, 200/- ? Does that mean I make loss in PUT option and also in purchase of stock? Please clarify.

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