Isn’t pledging of shares viewed negatively? Can someone explain why a company such as HDFC AMC would pledge shares? The company has 0 borrowings and huge cash in their balance sheet.
Pledging is not done by HDFC AMC, but a person working at company. This has nothing to do with company or its balance sheet.
An individual may have various reason for pledging (needs money for short term, wants to trade in F&O etc.). Beside quantity pledged in minuscule.
This doesn’t affect company.
1 Like
Yes, that seems to be the case. Thanks for the reply.