Can we pledge tax saving mutual funds

[Amazing_cloud]

is it possible to pledge tax saving mutual funds

[tallerballer]

You can view list of pledgeable securities here - Approved list of Securities at Zerodha. - Google Sheets

There do not seem to be any ELSS funds on that list. Probably due to the broker not being able to withdraw them if client does not pay.

[pankushri]

Thank you Team Zerodha for accepting ELSS as collateral

Thank you Team Zerodha , You made my Diwali super sweet by accepting ELSS funds as collateral . Not expected at all , I kept trying like every month and Pheewwww this time around CDSL accepted . I was seriously contemplating to shift to SGBs because with SGB i can get 100% liquid plus 10-12% return per year , but ELSS giving me around 13-16% return but I want best of both worlds . Thanks alot Collateral Team and Higher Management of Zerodha and Kite for allowing this . It might look small bu…

[tallerballer]

@Amazing_cloud from thread linked by pankushri,

Thank you Team Zerodha for accepting ELSS as collateral

ELSS funds can only be pledged for collateral after they have completed the Lock-in period of holding (each individual investment). The ELSS that you hold will not be accepted as it could be in lock in period. We will remove the ELSS schemes from the pledged list as we are working on a mechanism to get the lockin data from the depository and then accordingly allow those unis that have completed the lockin period.