Peak margin requirements from Dec 1st 2020 & its effects

Is there any chance that this circular gets withdrawn in the near time? Aren’t brokers opposing this circular as this will reduce their revenues also

Have question for guys here who are option writers. What is a safe number of lots for selling banknifty/nifty ATM options in zerodha? Do we face any liquidity issues/major slippages if working with, say around 8-10 lots?

There are no liquidity issues/major slippages on selling banknifty/nifty ATM options, they are always liquid with huge volume. You can easily trade 8 to 10 lots!

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Thanks a ton!

Following peak margin requirements from december 1st, what happens in case of BTST?
upfront margin of 20% is to be maintained at zerodha while buying today and selling tomorrow? If no, margin penalty is applicable in case of non maintenance of upfront margin as mandated ?

You can continue to do BTST, no changes.

You already pay 100% of the value upfront when you buy stock for delivery, so you don’t have to maintain anything extra, also to sell the same next day you don’t have to maintain any additional margin.

For better understanding would request you to read this post.

bhai, small ivestors trade in 1 lot future. if the increase the margin for 1 lot only trading how small investors will trade. For more than 1 lot let them do any thing. For just 1 lot of trading if they increase the margin to 3 lakh per future stopping mis will it not help big bees. always small investors are in terriible loss bhaiya. We trade only in 1 lot. so mis should be allowed for 1 lot. i hope u understand. all bad brokers problem are different they misuse in 100 lots like that. small traders who trade in 1 lot do not have money at all i lost 25 lakhs to this market in intraday trading. I am hoping i will recover some money from this market so i am trading. I need small margin to trade in 1 lot. so for 1 lot mis should be allowed. existing system should continue. in the name of small investor saving they are screwing the people from trading it self even in 1 lot. option sellers only make money. i cant sell options because of margin. so i buy option and aLL OPTION GOES TO ZERO BHAI.

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According to new SEBI regulations. What amount of funds must be needed in demat before buying on 10x leverage.

From September 2021, maximum intraday leverage which can be provided in Equity segment will be 5x and there will be no intraday leverage in F&O segment, margin requirements will be same for intraday and overnight positions.

What changes will be there for intraday margin traders (equity). What should be the more point of concern for the traders who used to trade with up to 10x leverage?

With 10x leverage, if you have 10k in your account your purchasing power becomes 100k, with 5x leverage it comes down to 50k, so you will have to adjust accordingly.

So after all this explanation summary is after Sept 2021 NRML margin and MIS margin will be same…no difference…

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@ShubhS9 @nithin ???

Need clarity on this.

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@siva @shubhS9 @nithin

Really need a clarity on this asap.
Different brokers giving out different interpretations.

To be frank no one knows the exact thing, still everyone is interpreting the changes in their own way, hopefully in next days we get some clarity.

Can you give source link?

What kind of problem?

Yeah, we are already doing EPI.

I think this communication is from IIFL.

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