Sell covered calls easily without pledging and cash margin requirement (like Robinhood)

General
1

I have a Robinhood account which makes it so easy to sell covered call options. Buy 100 shares of any stock and sell 1 call option against it - there is extra no pledging step or margin requirement - the 100 shares are automatically pledged and serve as the margin.

Which broker in India allows the easiest way to sell covered call, preferably, without the pledging step?

2

No broker. AFAIK exchange and clearing house doesn’t allow this

3

Thanks @sameer_ranjan.

Which broker has the cheapest and easiest process for selling covered calls? Can pledging and getting margin happen instantly? Which broker has free pledging?

4

I can’t tell about all brokers. I use zerodha and upstox and both charges some meagre amount approx rs 20-30 for pledging. You get the margin within 10 minutes if authentication happens at CDSL swiftly

1 Like
5

Thanks @sameer_ranjan.

With zerodha, are you sure the margin is obtained within 10 minutes? I thought the margin is obtained next day if request is placed before 5pm. From What is pledging, and how does it work? :

“Pledge requests are processed at 2:00 PM and 5:00 PM on days when the equity market is open”

1 Like
6

Didn’t place any pledge request recently on zerodha. A couple of month back, I pledged and got margin next day.

However this week, I pledged some share on upstox and received the margin within 10 minutes.

7

Thanks a lot, @sameer_ranjan !

8

Which broker will give margin on the same day itself by pledging shares? Which broker charges no fees for pledging?