Pledging your stocks allows you to use them as collateral for trading. This guide simplifies the process and clarifies the rules.

Step 1: Initiate a Pledge Request

1.1. Via Web Trading Platform:

• Login: Access your trading platform. Goto Backoffice - > Activity ->  Margin Pledge initiation request - >  Add new MTF collateral Pledge request. 
• Watch the Tutorial: Follow the instructional video provided for guidance.

1.2. Via Email:

• Send Details: Email the list of stocks to be pledged and specify the segment (MTF).
• Raise a Ticket: Submit the request through the support portal.

Step 2: Pledge Request Processing

• Timing: Pledge requests submitted before 5 PM will be processed on the same day (EOD).
• Confirmation Notification:
  • SMS: A link will be sent to your registered mobile number.
  • Email: Details will be sent to your registered email address.

Step 3: Confirm the Pledge

1. Access NSDL Confirmation Link:
   • Click on the link provided in the SMS or email. If no link is received you can use the NSDL pledge link here
   • Enter your PAN to log in and follow the on screen process
2. Confirm the Pledge: Confirm pledges before 8 PM to avail margin benefits for the next day.
3. MTF Collateral Eligibility: Active MTF clients can pledge Group 1 stocks for collateral benefits.
4. Non-Processing Days: Pledge / un-pledge Requests made on weekends or holidays will be processed the next working day.
5. Cash Component Ratio:MTF: No cash collateral is required. The full value of pledged stocks (post-haircut) will be considered as collateral.

Step 4: Margin Availability

• T+1 Provision: Margins from pledged stocks will be available from the next trading day (T+1).
• Pledging Fee: A nominal fee will apply as per the rate card.

Selling Pledged Stocks : To sell pledged stocks, you must first unpledge them:

1. Submit an Unpledge Request: Raise a ticket in the support portal.
2. Processing Timelines:
   • Requests made before 1 PM will be processed the same day.
   • Requests after 1 PM will be processed the next trading day.
3. Important:
   • Ensure sufficient margin for open positions before requesting an unpledge.
   • Requests may be rejected if the pledged stocks are required to meet margin requirements.

Stock Upload: The unpledged stock would be uploaded the next working day after request processing under DP holding for you to sell.

Examples for Better Understanding