Q1. Bought shares on Monday, 19Jun & got delivery & then sold on next Monday 26Jun. In this case, 80% of funds will be available on 26Jun or still next day on 27Jun ?
Q2. If I sell T1 holding worth 10K on 20Jun, & price came down & want to buy back. Can I do with fresh fund of 10K?
Yes. This is applicable for both the exchanges.
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If the shares are already in your demat account. Nothing changes. You will get 80% of the sale proceeds immediately. While the remaining 20% will be available the next day.
If you have funds in your account. These can be used for buying back the shares on same day.
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I would like to request a feature that allows you to buy back the shares you sold today without requiring extra funds. This would be treated as an intraday trade, as if you sold the shares in MIS mode instead of CNC mode.
I think this feature is feasible and beneficial, even if it requires some technical modifications. It would give Zerodha a long-term advantage over other brokers who may not offer this option. @nithin
This will impact Retail traders a lot. Since we have limited capital, we would not be able to do btst as well as Intraday trades as most the time our capital will be blocked and it will give enough scope to the big traders to manipulate the stock.
T+1 settlement is going of for many days infact for year now. why is it brought forward now. Is this working in interest of special group of people or wanted to block special group of people now ?
This, while it seems simple is a complex change in our risk management system. It is not possible for now.
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One more thing , as i have understood they will block 100% funds if i sell from T1 & 20% if i sell from my demat holdings , is this correct understanding?
Can you please explain it in easier ways for beginners like me?? Thanks in advance
Hi @Vikas464, this is explained above:
Really funny , our exchanges do not have any solid mechanism to control risk or rather i say couter party default so they will block retail who deals in hard cash but would allow us retailers to pledge , deal in options & futures … but not let us deal easily in hard cash trades
When we sell holdings in US equities, the available margin is displayed on T1 day even though we are not allowed to trade US securities because they are settled on T+2. If a client uses funds on T1, the exchange issues a violation alert for doing so, and if the client repeats the violation, the client account is blocked for a certain amount of time. is it true?
@ShubhS9 this rule applicable for intraday equity traders ? ( buy and sell same day )
No, this is not applicable for intraday trades.
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