please help

I am new to derivatives. Iam planning to buy say two lots of nifty by keeping shares as margin. The problem is that my broker says that it will be charged i.e. the limit generated by shares say Rs one lakh ,i will have to pay certain % as interest to them apart from the daily m2m losses.please help me. Do such things happen with ICICI or Sharekhan ?????

In icicidirect you need to maintain money to adjust the end of the day market to market losses. You need not pay any margin money if the value of the shares is suffice for the margin money.

eg if you have pledged say 100 shares of reliance whose market value is approx 1500 then 70% of the value will be allowed as margin money for your derivatives ie 70% of 1500 X 100 = 150,000 is 105,000.

So 105,000 can be used as your margin money. BUt at the end of the day there is a loss of say 5,000 then you need ot have that amount in cash. Otherwise they will sell of the shares.

If there is a profit at the end of the day you can continue your position as long as you are in profit.