Spread bet options, what happens at expiration?

[Draz]

Okay let's say I have options on my spread bet account, which are going to expire today at 21:00 and they are in the money. Will I get the money or will they expire and become worthless if I don't close them manually even tho they are in the money?

[AshishIG]

Hi @Draz, If the option is in the money, you might want to close it before expiry to maximize your profit. Even if you don't close it, the option will be settled at expiry against the official settlement levels. If the settlement price is higher than the opening price (indicating the option is in the money), you will make a profit. The profit or loss is calculated using the formula:

Profit/Loss = Number of contracts x Value per contract x (Option closing price - Option opening price)

All the best,
AshishIG

[gezmond]

Or not close to maximize profit ,as IG have a spread to close but not to expire!