FYERS' Strategy for Physical Settlement of Stocks on Expiry

How does FYERS handle the square-off of stocks due for physical settlement on expiry?

Trading Futures and Options on the NSE requires a clear understanding of the rules surrounding physical settlement. At FYERS, we take a proactive approach to manage the positions that are due for physical settlement upon expiry. Below is the systematic process we follow:
  1. Square-off Timing for Margin Shortfall Positions: We begin the square-off process four days prior to expiry. This means if expiry is on a Thursday, we initiate square-offs from the preceding Friday. Should there be a public holiday within the expiry week, the process will start even earlier, from Thursday of the week before expiry.
  2. Notifications: We ensure that you're never caught off guard. Timely notifications are sent to your mobile and email, alerting you to upcoming physical settlements and any necessary actions you might need to take.
For further clarity on how physical settlements are handled, especially if you hold near-month Futures or in-the-money options positions nearing expiry, we recommend reading our comprehensive blog post titled, "FYERS Policies on Physical Settlement of Stock Derivatives".



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