Will I be allowed to trade in Commodity Options on expiry day?

No fresh positions are allowed by Kotak’s risk team in Bullion and base metal options on the expiry day due to the liquidity concerns. However, among energy basket, contracts like Crude oil and Natural gas options are open for fresh positions tentatively till 8 - 9 pm on expiry day, after which the contracts shall be put in sq off only mode. Kotak Securities risk team liquidates Options Long open positions post 9:00 pm to avoid the risk of options devolvement in to futures leading to losses or margin shortfall penalty.

No fresh positions are allowed by Kotak’s risk team on Commodity Options expiry day. Kotak’s risk team may also square off (liquidate) open positions depending on client’s margin availability as per devolvement process during the day at any given time at its discretion.