Comment on Zerodha - Margin Policies

Nithin Kamath commented on 23 Feb 2015, 10:14 AM

1. Haircut is 10% on liquidbees, so if you put up 1lk, you get 90k in margin.
2. Currently we don’t ask for any cash, but it is best to keep some in the account in case of any MTM losses. If there is no cash, we will square off your position to the extent of the losses.
3. If you have cash balance, it gets adjusted with this cash. If there is no cash, liquid bees gets squared off to the extent of the losses.
4. No
5. Every broker who allows you to trade online takes a POA on the demat account. The POA is limited power and can be used only to debit shares from your demat account. This is required because when you sell shares, without the POA we will not be able to debit and provide those shares to the exchange.
6. A round trip of pledge/unpledge costs around Rs 60/pledge irrespective of how many liquid bees you pledge.
7. Yes you need to open a demat. Cost is Rs 550 which includes upfront AMC of Rs 400 for the first year.


View the full comment thread »