Comment on Consequences of Short delivery - NSE/BSE

Venu commented on 10 Jun 2016, 06:50 PM

The settlement cycle in India is T+2 which means on T+2 you get credit of these shares on your demat account. To discount the possibility of missing out on any opportunity to make gains, we allow our clients to sell such stock even before the actual delivery of stock has happened which is why they appear under your holdings with a tag called “T1”. If you sell such shares and there’s subsequent short delivery, you’ll be considered defaulter for having sold it without taking actual delivery. This is a risk that comes with doing BTST (Buy today, Sell tomorrow) transactions. More has been explained on this link here:

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