What is odd lot trading ? does it require any specific approval to trade ?
Previously, the shares were traded only in specified lots like 50, 100 etc. If the holding is different then those lots were called odd lots. These were created due to bonus announcements or rights announcements by the companies. For example, if you hold 100 shares and if the company announces 3:10 bonus shares, the 30 bonus shares will become odd lot which were commanding lower rates compared to the normal lots. However, nowadays the trading lot has been made as one and hence this term is not appropriate.