50-50 margin rule that applies to selling options overnight

Trading
1

I want to do overnight option selling in Nifty. Can I use 100% of my collateral margin, or do I need to keep 50% in cash?

2

This is mandatory as per exchange rules.

The exchanges require that 50% of the margin for F&O positions must be in cash or cash equivalent collateral, while the remaining 50% can be in non-cash collateral margin. In case there is a shortfall in the cash margin requirement for overnight positions, and it is funded by non-cash collateral, a delayed payment charge of 0.035% per day or 12.775% p.a is applicable on the shortfall in the cash margin requirement.

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3

can you please cash collateral margin list

4

You can check the full list here

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5

@Meher_Smaran if i pledge liquid bees or liquid funds will it be counted as cash or non-cash margin

6

It’ll be considered as cash margin.

7

I have incurred cash margin shortfall of 4L. The position expired. What steps are needed to be taken by me?

8

Hi @Prem_Patil , you will need to add funds to avoid peak penalty by the exchange. Could you also please DM us the Client ID?