Why did the exchanges publish a clarification on no additional intraday leverage?

Where you have seen?

https://zerodha.com/marketintel/bulletin/249809/latest-intraday-leverages-mis-bo-co

In above page

Those are our policies, exchange policy is postponed to april 30th as of now.

ok. Thanks for the clarification

In that case why are you here in first place? You should put your hard earned money in Bluechip Equity mutual funds through SIP and relax…

2 Likes

For greater good.
Please, take a look at MOTIVATION, THOUGHTs & WARNINGs for GREATER GOOD.

Thanks for your nice suggestion. I’ve discovered some fun facts about Mr Market.

@siva @nithin If exchange will give permission to brokers to give leverage with their own fund can zerodha will give the leverage which it was previously giving?

We may give, also based on volatility.

1 Like

@nithin what is the status for new margin for hedged positions which were to implemented from May. Is there chance that it would be implemented on time.

No info on that yet, it can be postponed. Will wait for few more days for more clarity.

@nithin @siva, are we expecting any update from SEBI on intraday leverage on April 30 as well? apart from the new risk based margin system?

Not by April 30th, this will probably take longer.

1 Like

@siva Any update on intraday leverage? Or it is postponed again?:face_with_thermometer:

Will update here once we get clarification.

You told somewhere that it shifted to June 30th

Dear @nithin
I have one genuine question regarding this.

  1. Will the “pyramiding” strategy used by options buyers no more possible to trade if “upfront margin collection” in FnO is implemented?

My understanding is that the “profits” that are booked are notional and “money” is not there in the traders account as of yet. So he wont be able to purchase additional lots and pyramid his position.

Also silly question: Are they really going to stop Intraday leverage in FnO?

What is pyramiding strategy? As the options become ITM, sell them and buy OTM? I don’t see any issue with this.

Stopping intraday leverage in F&O, we just have to wait for SEBI to announce. It may not go completely, but for sure there will be restrictions.

Restrictions means what
Max 3x,4x or no leverage on Thursday

can you shed some light on what kind of restrictions? or intraday margins will be vanished altogether?

Limitations in terms of number of times one can offer leverage in fo for intraday, need to wait few more weeks to get complete info.

1 Like