1. Tejas

    I have already seen the list of shares which i can pledge i have mailed and ask the question to the executive too no right answer given
    1. I want to know which stocks or etf if pledge can be considered as cash equivalent or cash component.
    Eg. if i pledge Liquid bees it is considered as cash component so i do not have to bring 50-50 rule does not apply for to bring cash and margin as it is considered cash itself
    2. Which are the similar stocks or ETF which i can pledge and considered as cash equivalent or component

    1. TradeSmart

      Hello Tejas,
      We appreciate your efforts for clarifying your queries. You can pledge LIQUIDBEES, NIFTYBEES, CPSEETF, AXISBANKETF, etc. You may find list of all EFT’s available for pledging in this link. Please enter the key word as ETF to get the list of ETF’s available for pledging. Secondly, the Exchanges accept 50% margin in cash and 50% in shares. Currently, the same criteria shall be applicable for EFT’s too. In other words, you will need to maintain 50% margin in cash and 50% in collateral for ETF’s such as LIQUIDBEES, NIFTYBEES, CPSEETF, AXISBANKETF, etc. Please refer to this link to know more on MAS.

  2. Tejas

    What are the stocks that are considered as cash component i would only like to know which can be use as cash component only

    1. TradeSmart

      Hello Tejas,
      Are you looking for the list of stocks which are available for pledging. If yes then please refer to this link to get the list of stocks which can be used for pledging.

    1. Trade Smart Online

      Hello Kavita,
      Apart from Rs.60+GST there is no any other charge for pledging as of now. In case of any charges levied by the CDSL then we shall update on our site.

      1. Sushanta Sarkar

        What about the delivery of shares? Suppose I have 100 shares of SBI in my demat a/c and pledge all of them. And also have cash of about Rs. 10000/- . I placed and executed delivery sell (CNC) for 100 SBI shares. How shall the 100 shares be delivered to clearing house for settlement as they are already pledged? How shall I be charged? I shall be charged Rs. 60/- for pledging but, shall I also be charged for debit entry in my demat a/c?

        1. Trade Smart Online

          Hello Sushanta,
          Since when the new pledge system is started, currently we do not allow the pledged shares to sell in the open market. You are required to unpledge first from BOX back office and then you can sell. When you pledge the shares, you will be charged Rs.60. No charge for unpledging. When you sell the shares after unpledging, you would be charged Rs.15 Demat transaction charge per scrip.

          1. Sushanta Sarkar

            Does that means that, if I have a demat a/c with some DP other than VNS, I can margin pledge the shares in it, in favor of VNS, to get the margin for intraday trading with tradesmartonline ?

    1. Trade Smart Online

      Hello Jegadish,
      We are working on providing Liquidbees for pledging. Hope it should be live very soon.

      1. Jagadish A p

        Please let me know once this facility is available, so that I will start using Tradesmart for my trading.
        Thanks for the response.

  3. muhammad naseem ansary (yukm14)

    It is still not clear whether the whole holding is required to be pledged or part there of ? If the pledging is necessary for margin, as per SEBI’s direction then, is it proper to charge Rs 60 per scrip, which was optional in existing system.

    1. Trade Smart Online

      Hello Muhammad,
      Its up to you whether you want to pledge the entire holdings or only the part of it. Kindly note that cash to collateral ratio is 40:60 though you pledge all the shares.
      Example: Consider you have 1 lakh cash and 5 lakh holdings which has 20% haircut. Let’s assume you have pledged all the stocks. The collateral value after the haircut is Rs.4 lakh (5,00,000 – 20% of 5,00,000). As per the cash to collateral ratio of 40:60, you can utilize only 1,50,000 (1.5 times of 1 lakh available cash) out of 4 lakh collateral. In other words, for Rs.40 cash you will get Rs.60 (1.5 times of 40) collateral benefit.

      In case you do not pledge the shares then you will be allowed to trade only on the available cash in your account.
      There is no compulsion of pledging from SEBI.

      Pledge charges of Rs.60 is charged earlier too and shall continue till further notice.

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