GoldM options margin

[siva0]

Hi all ,

Since last month i’ve been trading in GoldM options, one thing i noticed yesterday was my margin is not reducing even if i am taking ce buy against ce sell .

Are commodities option margins are separate from nifty options margin rules ?

[Jack_R]

I have also observed this issue with Silver.

[pavinjoseph]

There is very little hedge benefit offered by MCX.

MCX Options Margin Query

Since most commodity contracts have much higher (Span + intra-commodity charges) or (short option minimum charge), there is very little hedge benefit that you get. This holds good for inter-commodity contracts as well. There is not much hedge benefit from the MCX exchange end itself. Providing here SPAN Margin computation methodology The total margin requirements for a member for a portfolio of futures and options contract would be computed as follows: i. SPAN will add up the Scanning Risk…