On Funds tab there are several headings such as available margin, available cash, opening balance etc.
I went through support article but I found info to be little bit confusing hence asking following query.
My total margin consist of equity collateral, liquid fund collateral and actual cash.
How can I know how much actual cash is available for purchasing stocks?
If following holds true?
Cash available for purchasing stocks = Available cash shown on kite - liquid fund collateral
You can simply refer to the “Available Cash” field on Kite to know the available cash in your account, this you can use for buying shares.
Thanks Shubh…
I do have overnight F & O positions for which I need some cash.
Some part of ‘Available Cash’ will be used for these overnight positions.
So how to decide how much is free cash?
For overnight F&O positions, you need to maintain minimum 50% margins in cash or equivalent and remaining 50% can come from collateral margin.
So, say you have 1 lakh cash, and 1 lakh collateral margin and have taken a F&O position with margin requirement of 1 lakhs, off this 50k you need to maintain in cash and remaining 50k, you can maintain in collateral margin. So you’ll have 50k cash available.
Thanks…