Future Expiry Mechanics


I am short a future before expiry, what happens at expiry ? Would the short sell be automatically covered by the broker ? Or can I let the open interest expire and final settlement happens in cash ? Can someone please explain ?


You can choose to square off the position yourself or let the futures position run until expiry and exchange settle it for you. I’d typically like to square off the position myself - this will give me a lot more clarity on my exact P&L.