So something weird is happening with this fund. I had bought some of it and pledged it for margin.
For some reason, ICICI decided to change the face value of this fund and apparently this also changed ISIN.
God knows whats their rationale for this pointless exercise. To eat up fractional shares ? Don’t they have anything better to do ?
Now initially, the units got adjusted. They were still pledged and i got margin on 1st day after change. But next day, first i got email that ISIN has changed and we need to wait for settlement. And now i got mail that the units have been unpledged by clearing corp. And if i try to pledge them back, i am told that this instrument is not available for pledging.
Whats happening here? Will this fund become available for pledging soon or do i need to move to another fund ? My plan was to hold it for > 3 years. Do i need to deal with COIN and hope there are no issues and my money does not get stuck ?? Nithin has not yet posted that all is well with COIN/BSE.
It seems brains have been switched off by everyone in this process of changing face value from 100 to 1000. Does CC consider this a new fund and will take its own time before making it available for pledging ?
@ShubhS9
When possible, please advise. Is this part of the process ? Will this fund become pledgable again soon ? I have some of my trading capital locked out because margin from this fund got removed.
The fractional units will be settled in cash, and the proceeds will be credited to your primary bank account.
The new units have been allotted under the new ISIN, which isn’t yet approved for pledging by the Clearing Corporation. Since they are not providing margin against it, you will get no margin.
Also, you don’t have to redeem and switch to another scheme, the Clearing Corporation will approve this fund in due course and you will be able to pledge again.
Will It be soon - say a week or two - or months? Just getting an idea on what usually happens.
I can manage for now, but this is primarily trading capital invested only to avoid settlement issues.
Best to split up into multiple funds i guess. Thankfully i did that and so money blocked is only 10-15%.