If your positions are squared off before expiry by you or by AxisDirect on best effort basis then there will be no Physical Settlement obligation. However, if your positions remain open then there will be Physical Settlement obligation and it will be your responsibility to bring in the required funds or securities as required by exchange to meet the physical Settlement obligation. Further, in the event of non fulfillment of delivery obligation in case of physical settlement, there is possibility of Auction as applicable under the Capital Market segment.