Zerodha margins pledge- liquid bees ETF VS liquid Mutual funds

General
1

Hi Nitin bhai,
I want to know is better to put margin money ( pledged ) in liquid bees ETF or liquid fund ( now available on zerodha ) considering

  1. 50% cash margin rule is not applicable to liquid bees ETF , is it applicable to liquid fund. or not ? ( whether iliquid ETF is at par with cash like liquid bees or will be treated as stock) .
  2. Return on liquid bees is lower than liquid MF but if I will have to pay interest of 18% on liquid MF pledge used as margin above 50% limit it will be useless.
2

Liquid funds are treated like cash similar to liquid bees.

Above reply should answer this.

3

Are Niftybees also treated as liquidbees for margin purpose i.e. no 50% rule applicable?

4

No, niftybees are not like liquidbess, they are like stocks.

5

Liquid fund ie those 7 permitted by zerodha for now…isnt the perfect choice but the best available at thia moment. Tried everything else in planning…nothing else…i heard yields use to be 6.5 or even 7%…

In last 30.days odd that i bougjt n pledged am getting merely over 5%

Remember …still your best bet

1 Like
7

@siva Do i need to pay 18% interest if i pledge liquid funds ?

8

Why you need to pay if you pledge liquid funds?

9

If I have bought ICICI Pru Overnight Fund through Coin, how do I pledge this as cash margin, just like i do liquid bees

10

Check this. It is same as pledging LiquidBees.

11

What are you trying to say - you would not choose liquid funds?