Hey @siva , why I cannot use pledged margin (from liquid funds) for buying options , also If I want to do iron condor I am getting out of range error.
How do we protect our option writings ? Should we have idle cash to buy options or can we pledge something else to get margin for option buying.
I think you need full funds for buying stocks CNC or option buying. Margins availed by pledging can only be used for shorting options or trading futures (where also you need to provide atleast 50% fund to avoid penalty). Intraday trade is a grey area with margin from pledged instruments. Not allowed but can do.
Pledged liquid mutual funds are considered cash equivalent like liquidbees and you will be able to see it in the liquidbees collateral margin under the funds tab on Kite.
Please note, you can use the margin to trade on Equity Intraday, Futures, and Option shorting.
@vishnux pl note that pledged money can be used only for Shorting Options & Futures and not for buying them.