You can refer to this table to understand how the net-off scenarios work. Also, do go through the article shared above for more information:
From second leg , we have to select any one?
Yes.
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@ShubhS9 @siva Is real time combined market wide position of a Fno stock available in zerodha or NSE website or some other site?
please help, thanks
hi @nithin can u help @ShubhS9 @siva Is real time combined market wide position of a Fno stock available in zerodha or NSE website or some other site?
please help, thanks
Hey @ad9, sorry missed this. Siva had answered a similar query some time ago here:
You can check out the latest MWPL limits on the margin calculator page here.
Can you please clarify this ,
For example:-
CASE 1 : I positional short sell NIFTY 12000 PE when NIFTY is 15800 . If I don’t square off before expiry, What will happen during expiry?
CASE 2 : I positional short sell NIFTY 12000 PE but before expiry or during expiry if liquidity dry up in NIFTY 12000 PE(no buyers are present to buy my option) what will happen in this situation? It will automatically square off?
CAN YOU PLEASE CLEAR MY QUERY REGARDING THIS . THANK YOU
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If Nifty expires above 12000 PE, nothing happens. You get to keep the premium you have collected.
if your position is In the money, then if you dont square of, your position will be settled at intrensic value, Liquidity or No liquidity, if the position is OTM, then that option expires wothless, and you get to keep the premium
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premium+option selling amount will be credited or not in my account if I won’t get to square off in NIFTY 12000PE which is otm?
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If you’ve shorted the 12000 PE, you would’ve already received the premium when short position was taken. Upon expiry, as the option is OTM, it’ll expire worthless and you’ll get to keep the entire premium recieved.
Yes, if Option expires OTM, there will be no brokerage charges.
@ShubhS9 Will this not be an issue during tax calculation if we dont square off OTM?
There will be no buy back price, only the sell price in the records.
Turnover for F&O is calculated as below:
The absolute sum of settlement profits & losses for F&O) per scrip and the sell side value of option contract.
You can check out more details here.
Had a question on the debit balance calculation. Is it based on the debit balance at the time of market close or post the day end calc.
For eg. If I have a Total margin of 11L (collateral margin of 10L and cash margin of 1L) and at 330pm I have OTM calls and Puts (worthless trading at 0.05) which require a margin of 9L.
At 330 my account will have a debit balance of 3.5L (9L * 50% - 1L cash margin). But post day end Calc the account will have a credit balance of 11L
Will I be charged interest on this debit balance or will the calculation be based post day settlement when my margin used will become NIL (due to OTM options expiring)
The interest will be charged on the debit balance once the trade process completes (post-day settlement). For the above example, there will not be any interest charges on your account.
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Hi @ShubhS9 in last week of March 22 if I sell ten lots of BNF45000 CE 29 dec22 expiry and receive rs 4.5 lac options premium and carry my position into Apr22 will this entire premium received be taken to be my profit for income tax purposes for FY 21-22 or only the MTM on this position as on 31 Mar will be taken as profit for tax purpose for FY21-22?
(I know this strike may be illiquid,have just taken a far strike for example )
Will there be any other extra charges,
if we didn’t closed the Index/stock option positions and let it expire worthless ?
There will be no extra charges as the position is OTM and expired worthless.
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