Hi,
I'm new to shares and stock. I've got an account with Motilal Oswal. I would like some help with a couple of things that I wasn't quite able to grasp in connection with selling shares.
Let's say I buy 500 shares today. If I have money in the account, that gets adjusted right away. If not, I have 3 days to pay the broker. Either way, I get an automated contract note from the broker telling me how much is owed to them.
Now if I want to sell all 500 shares the next day (T+1) the broker invariably advises me that there might be some risk involved as the shares that I bought haven't been delivered yet. They said something about a share pool and having to get / adjust them from somewhere etc that I wasn't quite able to follow.
Please let me know what this element of risk is because its my understanding that the contract note that is issued is what seals the deal (the price that should matter is the live price at the time of purchase, right?) and any subsequent movement of shares (in terms of volume (i.e. 500) will take place no matter what.. today or tomorrow or within T+3.
What is the element of 'risk' exactly? Help?
Where I can read more about this.
I'm new to shares and stock. I've got an account with Motilal Oswal. I would like some help with a couple of things that I wasn't quite able to grasp in connection with selling shares.
Let's say I buy 500 shares today. If I have money in the account, that gets adjusted right away. If not, I have 3 days to pay the broker. Either way, I get an automated contract note from the broker telling me how much is owed to them.
Now if I want to sell all 500 shares the next day (T+1) the broker invariably advises me that there might be some risk involved as the shares that I bought haven't been delivered yet. They said something about a share pool and having to get / adjust them from somewhere etc that I wasn't quite able to follow.
Please let me know what this element of risk is because its my understanding that the contract note that is issued is what seals the deal (the price that should matter is the live price at the time of purchase, right?) and any subsequent movement of shares (in terms of volume (i.e. 500) will take place no matter what.. today or tomorrow or within T+3.
What is the element of 'risk' exactly? Help?
Where I can read more about this.
