Comment on ZT-Position Conversion

SHIV PAL commented on 24 Mar 2016, 05:15 PM

Hello , I am confused regarding minimum balance that we should have in our account to trade a option ( specially to buy call option). Only premium amount is ok or we should have total amount of underlying stock.

For example If I trade a lot (75) of nifty at strike price 7650 and nifty is trading at 7620 with option price 100. Then, Should I have 7500 X 75 = 5 62 500 Rs ? Or only premium amount 75 X 100 = 7500 Rs is enough. Please reply .

Thank You

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