How are Futures contracts adjusted?

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• How are Options contracts adjusted?

  For options contracts, exchanges may adjust: • Strike price • Lot size (market lot) • Number of contracts The objective is to preserve the value of the position before and after the corporate action.

• How do client search for derivative (FnO) contracts?

  Client can search for your desired FnO contracts in the ALL tab or Futures tab or Options tab. Client can simply type in your desired stock or scrip names and get your desired results. Some key features for searching FnO contracts in IIFL Markets ...

• How do specific corporate actions impact F&O?

  A) Dividends Dividends are payments made by a company to its shareholders. • If the dividend is less than 2% of the stock price → No adjustment • If the dividend is 2% or more (extraordinary dividend) → Strike price and futures base price may be ...

• What is OI for option contracts, and how does it work?

  Open interest is the total number of outstanding derivative contracts, such as options or futures that have not been settled for an asset. It is the number of options or futures contracts that are held by traders and investors in active positions. ...

• Which Corporate Actions affect F&O contracts?

  The following corporate actions typically lead to adjustments in derivatives contracts: • Stock splits • Bonus issues • Extraordinary (special) dividends • Rights issues • Mergers and demergers • Capital reduction Regular cash dividends generally do ...