The final settlement price for USDINR is RBI Reference Rate, on 9th July this was 74.64.
So your 74.25 CE expired with intrinsic value of 0.39 and as the settlement price was lesser than your buying price, you’re making a loss.
You can check the reference rate on NSE website.
Thank you sir for clearing this-!
As on which time i need to consider the RBI reference rate sir-!
At 12.30pm or 5pm
As on my hope RBI currency reffrence rate is dynamic-!
Or the rbi reference rate is fixed for a day-!
RBI announces the Reference Rate at 1:30 PM on business days, it is fixed for the day.
Hi Nithin,
Recently I had bought a nifty 15600 CE option for 8th July 2021 expiry and it expired as ITM as the nifty spot ended at 15727.9, instead settling the 15600 CE at 127.9 i.e, at the intrinsic value, I was settled at 0. The broker is Alice Blue, they are saying that exchange settled this contract at 0 because 15600 is a CTM contract. Could you please explain if this the right thing, does all the in the money CTM buy contracts would be settled at 0?
Hi did you get any solution for this issue. I have raised grievience with NSE for this.
No Akash, I have raised grievience with NSE too. Do you have the same issue or what? who is the broker?
Bank Nifty 34500PE 8th Jul’21 option which had intrinsic value of 125.9/- (as per underlying settlement) has been settled by AliceBlue at zero value citing that it is CTM. I am not able to understand how CTM based exercise concept is applicable for index option which are cash settled. Request to provide further updates if any. Thanks, Akash
Yes, they are saying the same thing to me too, but the CTM contracts should be settled at 0 only when the receivable is less than the STT of the contract premium value, which is not the case in our situation. I am waiting for the NSE grievance to be addressed. Fingers crossed.
I am going to their Bangalore office today regarding wrong ITM settlement in previous expiry and you may also provide your client code so that I’ll take up your matter with their settlement team.
Yesterday expiry ITM has been settled properly. Settlement screenshot for your reference:-
Hi Akash, Did you go to their office? What did they say? Do you have a twitter account or insta account to DM you personally? I am not comfortable sharing details in forums.
Yes I have taken up your case also. I think positively things will be settled within this Friday since their CEO is out of office and will come on Wednesday. No need to share your client ID as I can understand.
@Akash_Agarwal You did the right thing by fixing an appointment directly with their CEO. I hope it gives you positive results.
Thanks. I am sure that some of their employees have deliberately done this with vested interests even though their CEO appears to be a gentleman. I will get my money back for sure. It is quite possible that someone else in Aliceblue is trading using my money as margin. Have even escalated in NSE NICE portal. It seems a deliberate attempt since NSE will never settle ITM banknifty options at NIL value. It’s too bad for a reputed broker like Aliceblue.
@ShubhS9
what happens when you buy any stock options, next day it goes under Securities under ban?
For example: I bought any PE or CE on SAIL, it moves 100% and next day, it goes under Securities under ban
One can’t add new positions on that when it is under ban but can exit current positions. So, in this case you can sell your sail position.
Any update
Hi Akash, I got the money back. You can reach out to me on twitter at @VinaySudini, I can point you the person who resolved it for me in case if it is not resolved for you yet.
Is it possible to sell Call or Put ITM 2000 points away from spot price,
Like Bank nifty trading at 37000, can we sell ITM 35100 CE
There is no brokerage applicable if Option expires worthless.
