What is Margin Pledge?

What is Margin Pledge?

Margin Pledge is a process that enables customers to leverage margin benefits based on the securities held in their Demat Account. To access these margins, customers are required to pledge their securities with the broker. Importantly, the ownership of the stocks remains with the customer in their Demat account throughout this process. The margin value is contingent on the type of stock, with blue-chip or high-quality stocks offering a higher margin compared to stocks in the average category.