Pledging of SGB for margin

F&O
1

I was surprised to know that Fyers do not accept Sovereign Gold Bonds (SGB) for pledging. It is rather assured by RBI itself and I fail to understand the logic behind not accepting SGB.

Anyone who can explain the rationale behind Non-acceptance of SGB.!!

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2

Hey @lAKb6jKvCP,

It is our Clearing Member’s policy to not accept SGBs as collateral for pledging.

Hope this addresses your query!

3

Hi,

Clearing Member would also have a logic for Non-acceptance of SGB. I just wanted to know the reason for non acceptance by them as well.

Policies are also made humans after all..

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4

Any update on this regard? In this volatile market SGB’s should be considered as a collateral

5

Hi @XlaVrGf1J6,

Currently, we are accepting Sovereign Gold Bonds for the pledge as we recently got our clearing member license. It was discontinued earlier as our clearing member didn’t accept the same for pledging.

Hope this clarifies!

6

Hi @lAKb6jKvCP,

Currently, we are accepting Sovereign Gold Bonds for the pledge as we recently got our clearing member license. It was discontinued earlier as our clearing member didn’t accept the same for pledging.

Hope this clarifies!

1 Like