Migration from old pledge to the new pledge mechanism

It’ll be available by the time the market opens tomorrow, provided that you have completed the OTP verification of the pledge today.

@Nakul @siva-reddy @ShubhS9

Suppose I had 10k unit for a mF which I had pledged in the past.
Now I have purchased another 5k unit and I want to pledge the same as well.

In console I’m not getting the option to pledge the balance 5k units, the choice available is to unpledge the 10K.

How can I pledge the additional 5k unit without unpledging the initial 10k units?

Hey @Prateek_Malpani when you have pledged something partially, Console will show you both the Pledge and Unpledge options like this. Can you raise a ticket here from the account where you are facing this?

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Does unpledging also require cdsl authentication and OTP generation etc?

No, CDSL authorization isn’t needed while unpledging the shares. You can check the process here.

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Thanks @ShubhS9

@Nakul
As you mentioned earlier about pledging of corporate bond, your say was that we have to maintain a 90:10 cash - non-cash ratio.

But a person from a different broker says that 50:50 is the cash - non-cash ratio and it should not exceed the total cash ratio of the member.

For Example.
Zerodha as a member maintains 100 crs as cash collateral and 100 crs as non cash collateral with the Exchange/CC,
The total eligible value of corporate bonds the member can pledge is 10 crs (10%of 100crs cash component) and additional 10 crs non-cash component has to be maintained.

Request you to kindly re-consider and approve these securities for margin.

We’ll look into this. There are certain changes we might have to do in our processes to allow this. I’ll update here once we’ve taken a call on it.

@Nakul
In these difficult times of 100% margins, I request you to speed up the process of accepting exchange approved corporate bonds for margin. Request @siva-reddy @nithin also to kindly expedite the process. :pray:

@r95990 this will require some more time as we are running a few tests. We’ll be able to give you a definitive timeline only by next week.

@Nakul

Any update on this?

@siva-reddy any chance REIT and INVIT will accept as colleterial , please communicate those clearing corporation to accept reit and invit as colleterial

@siva-reddy @Nakul I second @TradeB2B Please communicate to clearing corporations to accepts REITs and INVITs as collateral. From 30th September 2021, with some changes in regulations by SEBI, these instruments became eligible to be part of various NSE indices. With some push from stakeholders involved, clearing corporations might agree to accept these instruments as collaterals too.

Any update!

@Nakul

As per NSE List of approved securities Alkyl Amine is approved as non cash collateral, but I don’t find it in the Zerodha List. Request you to consider it.

Sure, checking on this with the CCs.

While this stock is in the monthly approved list, the Var+ELM+Adhoc margin is 100% and no collateral margin can be offered. As the Var+ELM+Adhoc margins come down, this will allowed to pledge.

@Nakul
@siva-reddy
@nithin

How tax syste. Works in pledging, its off market transaction

When you transfer money from your bank to your friend and get the money back, the money received back isn’t an income. In the context of taxation, the old method of pledging where shares moved from your Demat to broker Demat, worked exactly the same way.

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