Starting 20th November 2024, regulatory guidelines mandate an additional 2% Extreme Loss Margin (ELM)on all sold index option contractsduring their expiry day.

Key Points to Note:

The additional margin applies to intraday and overnight positions, whether hedged or unhedged.

Additional Margin= (e.g., for Nifty 25000 CE: approx..?12,500 per lot)

If you take a position on Expiry Day -1, this margin applies on expiry day, potentially leading to a margin shortfall, even with no MTM change. In such cases, Navia will square off positions during the first hourof trading on expiry day.

You can check:
Margin requirements in the Order Window
Margin utilization in the Funds Menu

Ensure sufficient funds to avoid square-offs. See our support article herefor more details .

Warm regards,

Team Navia