Frequently Asked Questions

In case of deficiency in the cash components, interest will be levied at the same rate of MTF (BSPL/E-Margin), in line with the prevalent market norms. It's important to maintain the required cash components to avoid incurring these charges.

Interest will be levied on the deficiency of cash components at the same rate of MTF (BSPL/E-Margin), in line with the prevalent market norms. The interest will be calculated on a daily basis.

Yes, you can still use non-cash collateral such as stocks and securities for margin. However, a minimum of 50% of the margin must be maintained in the form of cash component.

 To avoid interest charges, ensure that you maintain the required 50% of the margin as cash component. You can also consider maintaining a higher percentage of cash component to provide a buffer against any potential deficiencies.

The new margin requirement will be effective from 22 September 2023. Make sure to adjust your trading strategy accordingly to comply with the revised margin requirements.

While the minimum requirement is 50% of the margin, you can choose to maintain a higher percentage of cash component to avoid potential deficiencies and interest charges.

Every EOD after computation of deficiency in cash Margin (50%), a Margin bill will be raised towards it and an attempt to pay in the amount will be done. A receipt will be booked to the extent of the amount received. The Margin Bill raise on T day will be reversed on T+1 and a new Margin bill will be passed again. The process will continue till the open position is kept.

There will be no change in the MTM calculation.

This rule is applicable on the EOD margin derivation (MG 13). No impact if you do intraday trading in F&O.

Cash component is the margin which is considered as a cash or cash equivalent.

Examples:

1. Cash transferred from your Bank
2. LIQUIDBEES ( NIP IND ETF LIQUID BEES )
3. ICICILIQ ( ICICIPRAMC - ICICILIQ )
4. LICNETFGSC ( LICNAMC - LICNMFET )
5. LIQUIDETF (DSPAMC - LIQUIDETF )
6. LTGILTBEES ( NIPPON INDIA ETF NIFTY 8-13 YR G-SEC LONG TERM GILT )
7. MOGSEC ( MOTILALAMC - G5 )
8. SETF10GILT ( SBIAMC - SETF10GILT )

Non-cash component is the margin which is provided by pledging securities as collateral. All the Equity Stocks ( eg: Reliance, TCS) and Stock/commodity based ETF (eg: NIFTYBEES, GOLDBEES).

The collateral margin received by pledging cash component securities can be used fully towards any margin requirement for your open positions. There is no requirement to maintain cash separately if the margin requirement is covered by collateral from cash component securities.