Hi,
If I want to write a Nifty out of money (OTM) call and OTM put how much margin I have to deposit? Presently, I am trading with Ventura Sec.
As on 13th Aug 2010, Span margin for Nifty is Rs. 19,241, and, Ext Margin is 8129. So for one lot in future/writing one lot of call/one lot of put we need to pay 19241+8129=27370.
Now if I sell a strangle buy writing one OTM call and one OTM put, VSL is charging 19241+8129+19241=46611. Is this the margin set by NSE? Also, I would like to know how much other brokerage houses take as deposit? In this case I am standing to loose only in one side either in call or in put. So the margin I expected to be 27370 only for one lot. Please reply.
Santanu
If I want to write a Nifty out of money (OTM) call and OTM put how much margin I have to deposit? Presently, I am trading with Ventura Sec.
As on 13th Aug 2010, Span margin for Nifty is Rs. 19,241, and, Ext Margin is 8129. So for one lot in future/writing one lot of call/one lot of put we need to pay 19241+8129=27370.
Now if I sell a strangle buy writing one OTM call and one OTM put, VSL is charging 19241+8129+19241=46611. Is this the margin set by NSE? Also, I would like to know how much other brokerage houses take as deposit? In this case I am standing to loose only in one side either in call or in put. So the margin I expected to be 27370 only for one lot. Please reply.
Santanu