Full post: Margin Benefits & Pledge Shares Experience for Trading on Dhan

Quick post on Pledge & Un-pledge Experience on Dhan

I recently did a small post on how we have built and enhanced Iceberg Orders based on feedback & usage from our users. It’s weekend, and I have some time today so thought let me write one in detail about Pledge & Margin Benefits on Dhan.

We introduced Pledge Shares for Margin Benefit a few months back in February end. We started Dhan Meet & Greet events to interact with traders across India, till date we have met over 3000+ traders - and one feature that many traders were overwhelmed by was our capabilities and feature benefits of - Pledge Shares for Margin Benefits on Dhan.

Many large traders find these super-useful and I should have done this post a long time back, but never too late. So here it goes:

Let me first share about Usage of Margin Benefit from Pledge Shares on Dhan:

  • Margin Benefit on Dhan is available for Options Buying (yes, on buying too) as well as Options Selling
  • Margin Benefit is available across all exchanges: BSE, NSE & MCX
  • Margin Benefit is available across all segments: Options, Futures, Cash, Currency & Commodities
  • Margin Benefit is available across all order types: Market, Limit, Trigger, Bracket, Cover, Iceberg, etc
  • Margin Benefit is available on both order legs: Buy or Sell

Now, about Pledge & Un-plegde features & coverage

  • Dhan provides Margin Benefit on Pledge Shares across 1450+ Stocks. We have been told this is very extensive coverage.
  • It’s Instant. Pledge on Dhan is instant, easy and fast. In just 15 minutes, you get the Margin Benefit that is promised.
  • Unpledge is instant, but we process the requests over the weekend to ensure you are able to take advantage of pledge benefits if a trading opportunity comes up.
  • Pledge Stocks, when sold are unpledged instantly and in the sell flow. There is no need to first unpledge, and then sell them.

User Experience for Traders:

  • Only on Dhan, as a trader you can view the expected Pledge Benefit on the entire portfolio in Real-time. When we say real-time, we encourage you to see it yourself real-time when markets are live.
  • Your pledge stocks always stay in your Portfolio Holdings. Unlike many platforms, we do not reduce pledge stocks from your portfolio - they appear at all times in your portfolio so that you know the real value of your portfolio holdings at all times.
  • Exactly the same for unpledge, many platforms you have to unpledge stocks and then later they appear in the portfolio after a day or two. Not on Dhan, your stocks are always in your portfolio.
  • You can instantly pledge your entire portfolio, no need to select each one and then pledge them individually.
  • Same for unpledge, you can unpledge entire holdings together in a single request.
  • On every scrip page where Margin Benefit against pledge is available, as a trader you can see the margin benefit provided (in real-time) on the Margins view of the Scrips / Stocks.

Hope this is helpful. Dhan is built as trading / investing experience - so there are many small and nifty features that are available for Pledge & Unpledge as well but we would like you to experience it first hand.

Thank you & Enjoy your weekend,
pj

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Dear Mr.pravin ji

Firstly congratulations for building a good trading platform from the scratch. You & your team a doing a job. Surely you are trying to change the entire Indian broking industry. Keep it up.

Now coming to the point. I am a index options intraday buyer. Mostly i won’t carry overnight positions in options.I am thinking to Pledge to get the colletral margin but before that i am having a lot of confusion which i am listing it below.

  1. Can i use the colletral margin for buying index options for intraday or not ?

2.if i get the colletral margin for options intraday buying, then 50 % cash & 50 % non-cash equivalent also applies for intraday also or only for overnight positions.

3.G-Sec colletral can be used to buy options for intraday or not ?

  1. Whether G-sec is considered as non - cash component it cash component Please kindly provide a detail clarity on my doubts @PravinJ

Hi @Narine, Welcome to Dhan - we are glad to have you here.

Answering your questions quickly…

  1. Yes, you can use collateral margin for intraday and carryforward
  2. Yes, it is considered for both. 50-50% has to be maintained.
  3. Yes, G-sec can be used to buy options.
  4. Not yet, but we will introduced this soon. We are working on this, already work in progress. When it is goes live, we will publish this.
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