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3. Vikas Lohia   I Like It. |Report Abuse|  Link|Jan 17, 2021 9:47:04 PMReply
I didn't understand this explanation. I will ask my doubt with an example. Please, someone, clear it.

Suppose, I have 250 Shares of Bajaj Finance which is also its F&O lot. My buying price is 4500 and CMP is 5000. I sold next month's far OTM call of strike 5500 @ 250. So I got a premium of 250*250= 62500. My plan is to square off this position @ 100 or below next month, due to premium decay, so I will get the profit of ~150 and keep my holding intact.

But, instead, the price shoots to 6000 and my option is now trading at 500. So now I'm at a loss of 250*250=62500. Now, what should I do? Should I exercise the option because I have equity shares? Do normally people exercise options? If I exercise than will I get my money @5500 which is my strike price or @6000 which is CMP?

Please clear my doubt. Thnx

3.1. Manas Konar   I Like It. |Report Abuse|  Link|Jun 12, 2021 5:10:14 PM
You will get the strike price of bajajfinance ie 5500.
2. Vikas Lohia   I Like It. |Report Abuse|  Link|Mar 5, 2021 12:09:52 PMReply
BoB does not allow third party IPO application anymore. Admin please check and correct it here.
1. Vikas Lohia   I Like It. |Report Abuse|  Link|Jul 20, 2017 2:45:27 PMReply
Are there any listing benefits in NCDs? There are many options n this NCD, which one will have most volume after listing? How''s Call & Put works on NCDs?