Zerodha logo

What does clubbing of open position limit on MCX mean?

The client shall be responsible for squaring off all open positions. While Zerodha may square off positions, it is under no obligation to do so. The selection and sequence of such square-offs are at Zerodha's sole discretion. Zerodha shall not be held liable for any loss or damage resulting from exercising or not exercising this right. To learn more, see Risk Disclosure Document (RDD).

When you hold multiple commodity accounts (Individual, Corporate, Partnership, HUF, etc.) with different or the same broker, the exchange clubs all your open positions in these accounts to determine your overall open position limit for each contract, as mentioned in the SEBI circular. The exchange levies a penalty if your overall open positions exceed the stipulated limit.

Opting out of position clubbing

If you wish your positions not to be clubbed, you must give written consent to Zerodha, mentioning the reasons for not clubbing the positions. Zerodha will forward your request to the exchange.

To learn more, refer to this Guidelines on Clubbing of Open Positions.

Still need help?

Create a ticket

Open tickets

We see that you have the following ticket(s) open:

If you have the same query, check and update the existing ticket here. In case of a new query, click on Continue.

Continue