Collaterals for option trading

General
1

I am thinking of investing in Goldman Sachs Mutual Fund - Nifty Junior ETF

  1. Can I use this as collaterals for option trading.

  2. What would be the haircut for this fund? where can I see the haircut for any fund/stock?

  3. Please confirm my understanding that ETFs cannot be purchased through the fundhouse, they can only be purchased through a broker like zerodha

  4. whatever amount span margin comes up with for a particular set of options, the ETF holdings can be considered for 90% of the margin & 10% of the margin has to be held in cash. Is that correct?

2

1. Yes you can use it as collateral. But you are allowed to use this collateral only for futures trading or options writing (no option buying).
2. Haircut will be around 15%, this is the link for all approved stocks. It currently doesn’t show haircut %, we will try to incorporate this soon.
3. yes, ETF: Exchange traded funds, so you need a broker to buy ETF’s
4. Yes there is no mandate to keep 10% cash, but it is best to keep so that in case of any loss, this cash component can cover that.