Margin trading facility is available on the stocks which are assigned by Exchange. Follow the below step to buy stock through MTF:
Once you click on Review Buy Order, you will be redirected to CDSL Page for Pledging your stock
Please note, failing to pledge your stocks will invalidate your MTF positions!
On clicking ‘ Authorise on CDSL ‘
You will be re-directed to CDSL, where you can enter OTP and authorise the trades.
Failing to do so by 9 PM on T-day, will lead to auto-square off at 1:30 PM on next day.
On T+1 day, the positions will reflect in MTF Positions tab in Portoflio as shown below
You will be sent reminders to pledge your pending MTF trades on T-day, but incase you miss it, on T+1, to safeguard your trades, you only have the option to ‘Convert To Delivery’
You can do this anytime before 1:30 PM ( provided you have enough margin ), to avoid auto-square off of the position.
You can convert your existing MTF positions to delivery as well, via the same way as shown below ->
Here, you can select the quantity and convert accordingly.
Once done, it will appear in your Holdings on T+1 day.
Please note, you will be able to hold your MTF Positions for T+275 days. Post which, your positions will be auto-squared off.
Any corporate actions, or scrip being suddenly declared in-eligible for MTF, will also lead to auto-square off.
As mentioned above, it is at a minimal rate of 15% per annum only.
Pledging of MTF trades is ₹20 per scrip.