What is the maximum loss an equity CNC trader can face on a trade?

E.g. I have 2lkh capital and I buy 2000 shares @100 RS.
Is there a scenario where I might lose more than 2lkh on the trade?
Theoretically speaking if the price drops from 100 to zero I would owe 2lkh plus brokerage and other charges but I have heard in FnO there can be a situation where if the trade goes bad you might owe more money than investment + brokerage charge?
So, only in equity, suppose price of the share drops from 100 to zero can there be a scenario where I might have to pay more than investment + brokerage?

Thanks.

If it’s CNC then there’s NO scenario that you would have to worry about loosing more than your invested amount. Charges would be paltry at 1-3% max at worst possible cases in only CNC above your invested amount.

Stocks to not get into even in CNC.
There are certain BSE stocks (Generally low Liquidity and unknown stocks) where additional money is levied by the exchange ie. if a stock price is 1 you have to pay 1 for buying the stock and some additional percentage like 50% (or as stipulated by the exchange) which will be deducted and parked with the broker/exchange and will be reverted once you either sell or the stock comes out of the whatever the stupid circular or prohibitory trading it is into.

Also if you are doing intraday in Equity and buy/sell with high leverage and due to any issues like low liquidity and you have to cover way way below your SL, chances are you would loose all your money and have to pay the additional balance of the loss.

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Thanks for the reply. :+1:t4:. Also I don’t invest in BSE stocks only NSE that too in companies with good fundamentals, but I did not know the bit about illiquid stocks. It took me a few seconds to understand the last para I will DEFINITELY keep this in mind even though I don’t intraday trade with high leverage but one should definitely keep this in mind. Massive thanks. :pray:t4:.