Option Settlement Price

F&O
1

I have a question on the in the money option settlement value.

Let’s say I have 1 lot of 21OCT 18400 PE. Let’s say the NIFTY closing settlement price on 21 OCT is 18300 and NIFTY OCT Futures close at 18325. How much money will I get for this 1 lot of f 21OCT 18400 PE when Zerodha settles my ledger EoD?

I specifically want to know this for weekly option expiry as for monthly closing the Nifty Spot and Future will converge at closing at the end of month, right?

Thx.

2

Hi @xaxa ,

Final settlement price for an option contract shall be the closing price of the underlying index (Spot) on the expiry date.

So, in the example that you have mentioned 18400 PE for that weekly expiry will be settled at 100 rs.

Please do note that STT on exercised contracts will be charged at the rate of 0.125% of intrinsic value (how much in-the-money the option is)