InvestorQ : What is the change that SEBI has made for commodity options rules?
Rashi Mehra made post

What is the change that SEBI has made for commodity options rules?

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Archita Jajjoo answered.
4 months ago
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SEBI has made changes to the option exercise mechanism in commodity futures. Under the new rules, all in the money or ITM options contracts will be deemed to have been exercised unless contrary instruction are given by long position holder. OTM option contracts will expire worthless. These exercised options will be assigned to short positions in a random manner. While there are objections, this framework will be effective after 01-Feb 2022.

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