As we are aware that with effect from 1st December 2020, SEBI’s new Margin Policy Framework to Enable Verification of Upfront Collection of Margins from Clients in Cash and Derivatives segments is being implemented. You can read the Circular dated 21st July 2020 here – SEBI/HO/MRD2/DCAP/CIR/P/2020/127
The following changes have been made with regards to the implementation of the said circular:
Revised Leverages for Intraday, Cover Order, and Bracket Order.
Instrument | Leverage |
Equity | |
Intraday | 1. 3x of VAR+ELM leverage for F&O Stocks |
2. 2x of VAR+ELM for Non-F&O Stocks (Nifty 500) | |
3. Maximum leverage of upto 18x | |
BO/CO | 1. Only for F&O Stocks |
2. 4x of VAR+ELM | |
3. Maximum leverage of upto 20x | |
Futures | |
Index Futures | |
Intraday | 4x of SPAN+Exposure |
BO/CO | 4x of SPAN+Exposure |
Stock Futures | |
Intraday | 3x of SPAN+Exposure |
BO/CO | 3x of SPAN+Exposure |
Commodity Futures | |
Intraday | 3x of SPAN+Exposure |
BO/CO | 4x of SPAN+Exposure |
Crude Oil BO/CO | 4x of SPAN+Exposure |
Option Selling | |
Index Options | |
Intraday | 3x of SPAN+Exposure |
BO/CO | 3x of SPAN+Exposure |
Stock/Commodity Options
|
|
Intraday | 3x of SPAN+Exposure |
For more details, you can visit our Margin Calculator.
Important Points to be Noted:
- Only 80% of the CNC sale proceeds will be available to the clients during the day and the remaining 20% will be blocked for meeting the peak margin requirements.
- All the Realized Profits will be blocked until settlement (i.e., Clients will be not able to use the realized profit for taking new positions, until the settlement). Settlement happens in T+1 day for F&O and T+2 days for Equity.