What is margin shortfall / limit issue?

What is margin shortfall / limit issue?

  1. Margin shortfall occurs when you hold onto positions in your trading account without having a sufficient margin.
  2. It's different from the actual account balance.
Penalties are levied on margin shortfall
    • Related Articles

    • In which type of cases margin shortfall and consequent penalty will arise?

      In the following scenarios margin shortfall may arise and margin shortfall penalty will be applicable: Margins increased by exchange during the day or EOD Wound-up/ Square off one leg of position in hedge positions Buy back of sold holding shares on ...
    • Is there any penalty in case of margin shortfall in new PMR?

      As the Broker have to report the margin collected from each client, as at EOD and peak margin collected during the day, in the following manner: a) EOD margin obligation of the client shall be compared with the respective client margin available at ...
    • What are Rights Issue?

      When a company wants to raise capital, issue of fresh shares to the existing shareholders is one option available to the company. In such an issue, existing shareholders have the right to buy a specified number of new shares of the company at a ...
    • What is Bonus issue?

      A bonus share is a free share of stock given to current shareholders in a company, based upon the number of shares that the shareholder already owns. While the issue of bonus shares increases the total number of shares issued and owned, it does not ...
    • What is "Margin Used"?

      "Margin Used" indicates the portion of your funds that has been utilized as margin for futures, options, or other leveraged positions. If you are not engaging in margin trading, this value will typically be ₹0.00.