To the point! Have a quick look over the changes in margin requirements from 1st September

After SEBI released the new circular on changes in margin requirements, there’s a lot of hustle-bustle about what is going to be changed for the customers as well as for the brokers from 1st September 2020. So, AsthaTrade has come up with on-point brief changes before and after 1st September for all the clients associated with AsthaTrade.

Understand this by the following pointers: 

  1. Stock sold from Demat holdings-  

 

Before (till 31st August) After (from 1st September)
For trade in F&O or to buy other stocks, the proceeds can be used to buy  There wouldn’t be any changes as the stock is debited on the same day and give them to the exchange under the early pay-in-mechanism 

 

  1. Stock sold from BTST (T1 holdings)- 

 

Before (till 31st August) After (from 1st September)
For trade in F&O or to buy other stocks,  the proceed can be used to buy  To buy other stocks the entire proceeds can be used and to trade in F&O you can buy 60% of the proceeds

 

  1. Intraday profits earned 

 

Before (till 31st August) After (from 1st September)
The proceeds can be used to buy stocks and to trade in F&O on the same day  The earnings cannot be used until settled by the Exchanges (I.e., T+1 for F&O and T+2 for equity) 

 

 

  • Options sold 

 

 

Before (till 31st August) After (from 1st September)
The proceeds can be used to buy stocks and trade in either currency or equity F&O on the same day  The proceeds can be used only to buy options in the same segment I.e., option sell credit for stock options cannot be used to buy currency options

 

To know everything about the latest updates into the stock market, tune into our blogs under the knowledge hub on our website. 

 

Have great trading! 

AsthaTrade 

 

asthatrade

Astha Credit & Securities (P) Ltd alias AsthaTrade is an Indian stock broking company established in 2003. The company is a member of the National Stock Exchange of India (NSE) and Multi Commodity Exchange of India Limited (MCX).It is a depository participant with National Securities Depository Limited (NSDL).
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