Case Study for FUT buy and Call Sell

F&O
1

Please review the below scenario

I have bought a FUT of MGL @1200 and Sold the MGL CE @1220 (Both are from the same month).
Then on the day of of monthly expiry, MGL reached to 1240.

Then what are the actions needed from my side?

  1. square of both positions
  2. Or it will be settled by Zerodha automatically.

If settled by Zerodha then what are the charges please provide the breakup

2

Hi @Nitin_Sharma3

The net delivery obligation will be zero in this case.

Regarding charges:

  • For all netted-off positions(spread contracts, iron condor, etc.), the brokerage will be charged at 0.1% of the physically settled value.

  • All physically settled contracts, like stock delivery trades, will carry an STT levy of 0.1% of the contract value for both the buyer and the seller of the contract.

  • All other charges remain the same like equity delivery trade

Zerodha will settle in this case. But, if you ask my opinion, I would recommend you to square off the position to avoid these extra charges.

You can read more on physical delivery here:

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