Guys,
Anybody have experience in using shares as margin in ICICI Direct? I need some assistance regarding the pledge charges.
I have 1000 number of United Spirits bought at 650. Now, this stock is trading low, though I have no problem in waiting as long as it reaches 800 and above, I'd like to use some of these shares as margin and involve in future trading. Say I deposit 500 shares of United Spirits as margin, I would get around 206815 as limit after hair cut and buy 5 lots of Nifty for 145695. I'll still have around 60k as available margin. Now, my doubts are
1. I guess the brokerages for buying and selling futures using securities is same as cash. Is it right?
2. Should I be able to do only intra-day future trading or I can hold the future until its expiry/square off?
3. Suppose, if I square off the future on the same day, can I withdraw the securities on the same day? What is the pledge charges in this case?
4. Suppose, if I square off after some days, can I withdraw the securities on the same day I square off? What is the pledge charges in this case?
5. I guess as long as I maintain the available margin to meet the MTM, the securities (United Spirits) deposited are safe. Is there any other reason the securities should be sold by ICICI Direct?
Basically, I don't understand the pledge and it's charges, any help would be much appreciated. Thanks :thumb:
Anybody have experience in using shares as margin in ICICI Direct? I need some assistance regarding the pledge charges.
I have 1000 number of United Spirits bought at 650. Now, this stock is trading low, though I have no problem in waiting as long as it reaches 800 and above, I'd like to use some of these shares as margin and involve in future trading. Say I deposit 500 shares of United Spirits as margin, I would get around 206815 as limit after hair cut and buy 5 lots of Nifty for 145695. I'll still have around 60k as available margin. Now, my doubts are
1. I guess the brokerages for buying and selling futures using securities is same as cash. Is it right?
2. Should I be able to do only intra-day future trading or I can hold the future until its expiry/square off?
3. Suppose, if I square off the future on the same day, can I withdraw the securities on the same day? What is the pledge charges in this case?
4. Suppose, if I square off after some days, can I withdraw the securities on the same day I square off? What is the pledge charges in this case?
5. I guess as long as I maintain the available margin to meet the MTM, the securities (United Spirits) deposited are safe. Is there any other reason the securities should be sold by ICICI Direct?
Basically, I don't understand the pledge and it's charges, any help would be much appreciated. Thanks :thumb:
