BTST margin requirement

Trading
1

Hi, suppose a stock is showing applicable margin 100% and I want to do BTST in it, and avoid any penalty

I am a bit confused as I found no posts explaining the margin requirements in case adhoc margins are there , for e.g if I buy 1lk worth rs stock and it has 100% applicable margin, do I need to keep 2lk in funds to do a BTST to prevent penalty?

How much fund do I need to keep to do a BTST for such stock?

2

Hi @kzR

As Zerodha does early pay-in while you are selling, There won’t be any penalty for clients.

But in rare cases, in case of counterparty risk, short delivery may happen. 20% margin has to be maintained in such cases to avoid penalty.

3

Okay. So even if the stock has 100% applicable margin shown in NSE, I can do BTST in it provided I keep atleast 20% margin, right