what is delivery margin in zerodha

what is delivery margin in zerodha

1 year ago 76
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Delivery margin is a term used in Zerodha, an Indian online discount broker, which refers to the amount of funds that are blocked when selling securities from a demat account. The delivery margin is equal to 20% of the value of the stocks sold, and it is held until the next trading day. This is due to SEBIs new peak margin norms, which state that only 80% of the credit from selling holdings will be available for new trades on the same day in the same or different segments. The remaining 20% credit will be held in Zerodhas delivery margin field until the next trading day. The funds blocked under this category will be released and made available from the next trading day. The delivery margin also includes an additional margin blocked if the F&O positions are due for physical delivery.

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