If we do not square off OTM sold call option.

[timircha]

If I have open position which is OTM call sold position.

If I will not buy and (not square off position) till end of expiry, then what will be happened. (Call is OTM).

Is there any penalty or changes applicable to me.

OR IT is mandatory to buy sold call option for INR 0.05 (I think OTM is available at INR 0.05 at end of expiry).

 

[arunkarthik]

If I have open position which is OTM call sold position.

If I will not buy and (not square off position) till end of expiry, then what will be happened. (Call is OTM).

Is there any penalty or changes applicable to me.

OR IT is mandatory to buy sold call option for INR 0.05 (I think OTM is available at INR 0.05 at end of expiry).

You can leave it to expire worthless. It will expire at 0, though shown as 0.05, and it’s all your profit.




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[OneThatGotAway]

it;s better to buy at 0.05 and square off position.

if you don;t then exchange will auto square off for u at closing price of that day and STT levied on that is way higher then u self squaring off trade. Always square off trade .

 

[arunkarthik]

it;s better to buy at 0.05 and square off position.

if you don;t then exchange will auto square off for u at closing price of that day and STT levied on that is way higher then u self squaring off trade. Always square off trade .

NO, it isn’t - if they expire OTM.


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[mohan.sic]

If I have open position which is OTM call sold position.

If I will not buy and (not square off position) till end of expiry, then what will be happened. (Call is OTM).

Is there any penalty or changes applicable to me.

OR IT is mandatory to buy sold call option for INR 0.05 (I think OTM is available at INR 0.05 at end of expiry).

Things wont change every expiry. You have same question in previous expiry's. Please refer to your previous threads with same questions.