What is the value of funds that a broker can retain while doing the settlement?
In case
a client has any open position on the first Friday of the month/quarter on
which settlement of the running account of funds is scheduled, a broker may
retain funds calculated in the manner specified below:
1) Entire
pay-in obligation of funds outstanding at the end of the day on the date of
settlement, across all segments.
2) 225% of
the margin can be held as prescribed by the exchange. (Breakup of 225% Margin-)
- 175% will be adjusted against the
collateral. If collateral is less than 175% of margin, then the cash component
can be adjusted.
- 50% against the cash component, i.e., ledger + margin deposit.
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