If your F&O open positions (bullish or bearish) in a particular underlying exceed the defined threshold:

a. No new positions will be allowed in that underlying.

b. You can continue to square off existing positions to reduce exposure.

c. Fresh positions will be permitted again once exposure falls below certain percentage of permissible limits.

If your overall portfolio exposure across all underlying crosses the defined limits:

a. Your account will move to Square-off mode, where no new positions are allowed across any underlying.

b. You can still square off existing positions to bring exposure back within limits.

A breach can occur in the following cases:

1. Single underlying: When open positions in a specific underlying exceed permissible levels. The underlying will then be disabled for new positions.

2. Multiple underlyings: When overall exposure across all underlyings exceeds permissible limits. In this case, your account will move to Square-off mode.

3. In both cases, you can continue squaring off existing positions to reduce exposure.

For any queries, you may reach out to your Relationship Manager or Advisor.

Exposure limits are designed to restrict the size of open positions in the derivatives segment as per internal risk management guidelines.

The purpose is to:

a. Avoid risk of concentrated positions in an underlying.

b. Manage the risk of default.

No. Exposure limits apply only to:

a. Stock Futures (both long and short positions), and

b. Stock Options short positions.

There are no exposure limits for Option Call Buy or Put Buy positions.