If the success of online stock broking platform Zerodha has shown anything, it’s that discount broking can be a profitable business. And crucially, a lot of the market is still left untapped despite the recent exponential growth in retail investors. But the industry is not without competition....
If Reliance is trading at Rs.850/- or higher upon expiry (say Rs.870/-) it does not make sense for contract buyer to exercise his right and ask contract seller to buy the shares from him at Rs.850/-. This is quite obvious since he can sell it at a higher rate in the open mark...