Regarding demerger in Arvind Ltd on 28-Nov-2018

I am curious to know the reason for blocking NRML trades in Arvind Ltd F&O contracts on 27-Nov-2018 by Zerodha.

As far as I know, Arvind is still cash-settled in FnO.

Why cant one trade Arvind in NRML tomorrow and let it expire tomorrow evening?

Thanks for enlightning :slight_smile:

Hey @anp

NRML has been blocked in accordance to our risk management policy.

A lot of clients without being aware of force closure/expiry may open new positions and undergo losses.


Zerodha has already sent email notices regarding the same to everyone.

Profit or loss is not guaranteed.

Why is your risk management policy limiting opportunities for people who understand the situation while trying to protect the ignorants?

How exactly are options adjusted if such a demerger takes place?

@anshabhi ; in case of D-MERGER all F&O positions get expired on last trading day before ex date. in case of Arvind yesterday was last trading day .today it started trading in truncated form after a price discovery.if you want you have to build fresh position as per new strike prices.

Thanks! It explains this!!