No additional intraday leverages from Aug 2021 in Indian capital markets

Can you please tell why peak margins for FnO can’t be done in phases? and why other brokers will do the same?

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Penalty will start from dec 1st, so not sure if brokers will do in phases, also we are also not sure how we proceed on this.

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@nithin Sir just for knowledge i want to know that

in india brokers are providing higher leverage for long time and as customer we are also addicted to use products like BO/CO for higher leverage like 15x, 20x

So in developed Nations for ex Usa…
Is stock brokers in Usa are allowed to provide that kind of leverage i mean the 15-20x-30x leverage to their clients?

The regulations are different for stocks and F&O. For stocks there is a restriction on 4 times in the US, like it is in India. In F&O, it is a little grey, the brokers are allowed to take a call, but it is still not as much as some of the brokers offer in India.

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Hello from when do I need to have atleast 3 lacs margin to buy or sell one lot of crude oil from october or december 2020?

Margin requirment for Crude is 320k even now. If you’re talking about Intraday then, leverage offered will start reducing in phased manner from December 1st as explained here Update 4th Aug 2020 - Margins for trading stocks & Intraday leverages

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But that’s for only equity right also when will the leverage start to reduce from october or dec because they said penalty will be from dec but margin reporting from oct

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Most likely from dec 1st leverage will start reducing in phases, wait for few more days to get more clarity on this.

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Also mis already has 2x leverage would that be reduced by 25 percent 50 percent 75 and after dec bo and co will be gone in zerodha only or all brokers?

Will be same across all brokers, CO will be available but with reduced leverages.

So co right now it is 30 percent of nrml around 90k so will it be after 1.25times90 1.13 lacs in 25 percent phase then 1.5 times90 1.35 lacs in 50 percent phase and 1.75*90 1.57 lacs am i predicting correctly and after Aug or Sept 2021 mis/co would be same as nrml

It’s actually even more than 3 lakhs because MCX set crude oil margin to 100% contract value plus 1 lakh on top of that. So it’ll be around 4 lakhs.

Yeah but that’s not permanent right

Yes, hopefully it’ll go away soon but I won’t be surprised if it stays around for a few more months at least.

@nithin @siva
Please look into this video and tell us your views about whatever he is saying. does what he is saying about freak trades true? Also do margin include MTM loss as well?

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Last joke looks fair for me!

Don’t think that is right, m2m losses does not include in peak margin.

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@maddy_Des i think this guy is the one most affected by SEBI circular :rofl: :rofl: :rofl:

He made a youtube video to appeal SEBI about freak trade (Rainbows and Unicorns)! I thought he will talk some sense about intraday leverage for retail traders, but it was just a nonsense! wth he is talking about?

khoda pahad nikla chuha

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Hey Siva please reply
Say I am using a hedging strategy of buy option of one strike than sell other strike option, than do I get the leverage of 4 times on this hedged position or not??