Do I need to pledge my shares which are bought under E-margin?
Yes, as per SEBI circular SEBI/HO/MIRSD/DOP/CIR/P/2020/28 pertaining to Margin obligations to be given by way of Margin Pledge/Re-pledge, hence all positions bought under E-margin segment are to be held by the Broker (TM ) only by way of Pledge.
You are required to authenticate and accept the pledge request on T+3. You will receive link from the respective depository on T+3 day.
If Mr A has bought 100 share of ITC on 14-December-2021 Tuesday i.e T - day , Mr A will receive a link from respective depository on T+3 trading day i.e. Friday 17-December-2021 , Mr A has to authenticate and accept the pledge request on T+3 day itself, else on subsequent next trading day i.e 20-December-2021 i.e. Monday being T+ 4 Day the MTF position of the said security will be squared off.
Process how to pledge stocks under emargin: -
NSDL/CDSL shall send MTF Pledge request link on T+3 to your registered email Id and mobile number as updated in DP records.
You will have to authenticate the MTF Pledge request link by entering your PAN or Demat Account number on T+3 only
Post authentication, you will be displayed a list of securities along with the quantity to be pledged in the favour of one电竞(新疆)在线登录 Securities - “Client Securities under Margin funding account”.
Post validating the details, you have to click on the 'Generate OTP' button. NSDL/CDSL shall send an OTP to your registered email id and mobile number as updated in DP records.
You will have to enter the OTP received on your registered email id and mobile number to accept the MTF Pledge request on T+3
Success message will be displayed to you by NSDL/CDSL on entering valid OTP.
How is the additional margin called during MTM process?
The additional margin is debited from the limits. It is the client's responsibility to check the adequacy of margins at all times and mark a hold on the required funds for increasing the limits in order to avoid Square off of the position/s by one电竞(新疆)在线登录 securities.
What are the timings for E-margin trading?
E-margin trading can be done between 09:00 AM to 03:30 PM. However, you should square off the open position by 2:45 pm* on T+275 day or as applicable.
*This is subjected to change / review by one电竞(新疆)在线登录 securities Ltd from time to time
What is E-margin? What are its benefits?
E-Margin is a leveraged trading facility. You can create positions under this product that can be squared off or converted to delivery (C2D) till T+275 day (T= being Trade date) on or before the specified time. The said facility will be available to the customers agreeing to the terms and conditions (T&C) of E-Margin
Amendment starting from 01st January, 2020
1) Customer who have already agreed the revised T&C of E-margin T+180 days will be eligible for T+275 days. All the open position till 31st December, 2019 will continue under duration of T+180, whereas all the new position created from 01st January, 2020 will be considered under the revised duration of T+275 trading days.
2) Customers agreeing to the revised terms and conditions (T&C) of E-Margin post 31st December, 2019 can create positions under this product that can be squared off or converted to delivery (C2D) till T+275 day (T= being Trade date) from the day they agree to the revised T&C.
Unlike for a 'Cash' order, you do not have to pay the full order value for e-margin orders.
You can take positions with lesser margin amount with an option to carry the position till a maximum of T+275 days or as applicable. In case you do not square off or convert the position to delivery, one电竞(新疆)在线登录 securities will square off the trade on T+275 days or as applicable at any time after 2:45 pm. This is subjected to change / review by one电竞(新疆)在线登录 securities Ltd from time to time.
Settlement holiday(s) will be counted as a trading day.
E-Margin is available only in equity segment not in F&O segment.
Example : You buy 100 shares of ABC @ Rs. 2500 on Monday. You have an option to square off the position or convert to delivery till T+275 day or as applicable (i.e. 275 Trading days). If you fail to square off the position before 2:45 pm on T+275 day or as applicable, your position will be squared off by one电竞(新疆)在线登录 securities. However, you will be liable to pay Mark to Market loss arising on open positions under E-Margin on a daily basis.
Which stocks are eligible for E-margin trading?
The list of Securities and Security Specific margin rates will be displayed on trading website and may be subject to change / review by one电竞(新疆)在线登录 securities Ltd from time to time
What will be the impact on the margin blocked if I/one电竞(新疆)在线登录 securities square off the E-margin position?
Margin will be released after deducting loss on square off (if any) and this limit can be utilized for trading in other equity product
Can I short sell in E-margin?
No, you cannot short sell in E-margin product.
What will be the impact on my limits if I convert an E-margin trade into delivery?
You can convert an E-Margin trade into delivery only if you have adequate cash limits. You can also mark hold on additional funds from your linked Savings account.
Example: You buy 100 shares of ABC at the rate of Rs. 2500 under E-Margin. Limit utilized is say Rs. 75,000 against total order value of Rs. 2,50,000
If you decide to take the delivery of 100 shares, you will have to mark a hold on additional funds of Rs. 1,75,000 (Rs. 2,50,000 - Rs. 75,000).
What amount will be debited from my account at End of Day?
Margin amount and mark to market loss i.e. difference between buy price and closing price will be debited at the end of each day if the position is taken against the cash margin. Whereas, if the position is taken against the collateral then only mark to market loss will be debited. Effectively; ‘Mark to Market’ Loss shall not be adjusted against any kind of Collateral Limit that the customer may have
How do I convert my E-margin position into Cash?
You can convert the 'E-margin' position to delivery on 'T' day from Day's Trade book by selecting a trade reference and by clicking on Convert to Delivery option.
If you want to convert the 'E-margin' position on 'T+1' to 'T+275 day or as applicable, you have to go to ‘Open Position Book’ and click on ‘Convert to Delivery’ (C2D) option and enter the quantity to be converted.
Once the funds paying is done, C2D process will get completed. However, the quantity converted to delivery can be sold only when the same is credited to the Demat account.
How interest and brokerage would be charged in my account?
Interest will be charged @18% + GST (effective only until the 28th December, 2018) on outstanding debit balance from the date of pay-in, for positions taken under E-margin as below :-
|Position taken||Position squared off||Brokerage to be charged||No of days interest to be levied|
|T day||T day||Equity Sq off||Nil|
|T + 1 day||Equity Delivery||1 Day + no of Holidays**|
|T + 2 day||Equity Delivery||2 Days + no of Holidays**|
|T + 3 day||Equity Delivery||3 Days + no of Holidays**|
|T + 4 day||Equity Delivery||4 Days + no of Holidays **|
|T + 275 day||Equity Delivery||275 Days + no of Holidays**|
**Number of Holidays means Saturday, Sunday and trading/settlement holidays (if any) shall be included.
Example 1 :- Client has bought “A” stock in E-margin Product on Wednesday and squared off the E-margin position on Thursday. In this case interest will be levied for 3 days starting from Friday till Sunday.
Example 2 :- Client has bought “A” stock in E-margin on Wednesday and squared off the E-margin position on Thursday In case Monday is trading holiday, interest will be levied for 4 days staring from Friday till Monday
Can I partially convert my E-margin positions to delivery?
Yes, you can partially convert your E-margin position to delivery. However, on T day, if you need to convert an E-margin trade to delivery, the quantity should be equal to the executed quantity at trade level. (Basically on T day, only Trade wise C2D is allowed).
Example: You placed a buy order today for 100 ABC shares. The order got executed in parts: 40, 30, 20 and, 10 shares with four different trade reference numbers. Now, if you wish to convert this trade to delivery, you can do so based on the quantity in each trade reference number. Now if you try to convert 50 shares on 'T' to delivery, system would not allow you to do so.
From T+1 Day to T+180 day or as applicable, you can convert E-Margin Open Positions to delivery as per your requirement.
What brokerage will be charged on my C2D (convert to delivery) position?
Delivery brokerage shall be applicable on your convert to delivery position. However, any fresh position created on the same day of C2D in the same scrip will also attract delivery brokerage as the settlement of the C2D transaction will happen only in the evening and brokerage will be charged on FIFO logic of transactions executed.
On 01/01 - Client has buy trade of 100 qty of ABC Scrip --- System will charge Delivery Brokerage on Buy trade.
On 02/01 – Client has executed a sell trade. System will charge Delivery Brokerage.
Can E-Margin position taken in one exchange be squared up in another exchange?
Yes. If you have purchased a stock on one exchange, you can sell the same on another exchange.
Will the square off charges vary for positions taken in intraday scrips & E-Margin scrips if the client squares-off the position on the same trading day?
If any client squares off his/her E-Margin position on the same trading day, in an Intra-day scrips , then brokerage would be charged at 0.05% or Rs 25, whichever is higher, on each leg. If it is an E-margin scrip (not forming part of Intra-day Product list), then brokerage would be charged at 0.10% or Rs 25, whichever is higher, on each leg.
What happens in case of any short delivery from Exchange?
In case of any short payout is received from the exchange for any particular security and client has multiple open positions in the said scrip, then position will get closed for short quantity on FIFO basis.
*This is subject to change/review by one电竞(新疆)在线登录 securities Ltd from time to time
18% GST on Brokerage is Applicable
I have sold some shares in Cash, Can I utilise the Credit for Sale for trading in E-margin product?
Yes, you can utilize sales proceeds against the sale for trading in E-margin Product.However if you have sold share before delivery( i.e on T +1) then you will be able to use the sale proceeds only after settlement ( i.e after T+ 2 days from the selling date).
What is the difference between E-margin, Intraday and Cash?
|1.Require to hold funds equal to the full order value.||1.Margin required 30% - 60% (depending on the scrip) of the order value.||1.Margin required 30% - 60%* depending on the scrip.|
|2. Delivery based transaction, settled on T+2 day.||2.Same day Square off/convert to delivery transaction.||2.Transaction can be squared off /converted to delivery till T+275.|
|3.Short Sell is allowed.||3.Short Sell is not allowed.|
What happens if the limits are not sufficient to fund the additional margin requirement?
In case of insufficient limits, the available limits are checked and the additional margin requirement is recomputed.
Positions with short margin may get squared off by one电竞(新疆)在线登录 securities.
What will be the treatment of mark to market?
In case of mark to market profit no additional trading limit will be provided. Whereas in case of mark to market loss, loss will be debited from bank account on a daily basis (collaterals will not be factored for the mark to market losses).
Can one create an E-margin position against the cash limit created by selling stock in cash product?
Yes one can create an E-margin position against the cash limit created by selling stock in cash product, however the system will try to pull the funds from the bank account at the End of the Day (EOD).
Can customers place E-Margin buy orders against shares as collateral in Off-Market?
Yes customers can place E-Margin buy order against the shares as collateral by selecting E-Margin as an order type in Off market.
Can customers place E-Margin buy orders against shares as collateral in GTDT?
Yes customers can place E-Margin buy order against the shares as collateral by selecting E-Margin as an order type in GTDT.
Can I convert my E-Margin open position to cash by pledging share?
No, System will only allow you to convert the open E-margin position against fresh funds hold from saving bank account.
Can E-margin position be taken against the balance available in the bank account or against Pledged share?
Yes E-margin position can be taken against the trading limit, available balance in bank account and as well as against Pledged share.
Can customers place E-Margin buy orders against Pledged shares in Off-Market?
Yes customers can place E-Margin buy order against the Pledged shares by selecting E-Margin as an order type in Off market.
Can I sell my E-margin share on T+ 1 ?
Yes you can sell the share on T+1 however the margin may be applicable on the same.
Can E-margin position be taken against the Pledged share ?
Yes E-margin position can be taken against the pledged share but before placing an order under E-Margin , the client will have to initiate pledge request for the securities available in demat account. Once the limit is provided against the pledge only then the client will be able to place order.
Can customers place E-Margin buy orders against Pledged shares in GTDT?
Yes customers can place E-Margin buy order against the Pledged shares by selecting E-Margin as an order type in GTDT.
Can non POA customer place order under this product?
This product is available only for POA customer
Can I convert Delivery Market order into emargin?
Yes, the same can be converted only during market hours on T Day