What is the meaning of Delivery trading and Non-delivery trading in stock markets?

Discussion in 'Equities' started by sujeethselvamk, Oct 22, 2009.

  1. sujeethselvamk

    sujeethselvamk New Member

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    I often come across the terms delivery and non-delivery.What do they mean?
     
  2. bunny

    bunny Well-Known Member

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    Re: What is the meaning of Delivery trading and Non-delivery trading in stock markets

    Delivery means you buy the stock but "hold" it overnight. In cash segment, you have to wait for two business days after transaction to receive the actual delivery.

    Ex: If you bought on Tuesday, the you get the delivery on Thursday after closing.

    Non-delivery means you sell on the same day when you buy (Also called "intraday trading")
    Ex: You buy on Tuesday and sell it on Tuesday.
     
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