1. COMPUTATION OF FREE BALANCE:
The Company has the system to provide trading limits based on the Total Available Margin and the same shall be computed as under :
|Sr.No||Particulars||Total Available Margin|
|(i)||Net Credit Balance in Running A/c||100%|
|(ii)||Margin Deposit (Funds)||100%|
|(iii)||Margin Deposit (Shares after applicable haircut)To be considered upto 200% of clear balance equal to (i) and (ii) above||100%|
|(iv)||Under Clearing Cheque||Amount equal to the Cheque value or sum of (i) to (iii) above whichever is lower|
2. TRADING LIMITS :
|LIMIT MULTIPLIER CM||LIMIT MULTIPLIER F&O/CD|
|INTRA DAY TRADING LIMITS||8-10 Times of Margin||1 Times of Span|
|CARRY FORWARD / DELIVERY||2-3 Times of Margin||1 Times of Span + MTM|
3. MARGIN CALLS :
First Margin call will be given as soon as the MTM Loss reaches 50 % of the Total Available
Margin and client will be asked to submit fresh margin or reduce the positions and the client
will be in square off mode until he provides fresh margin or his MTM comes below 40% of Free
Second Margin call will be given when MTM Loss exceeds 60% of Available Clear Balance and if client does not bring in fresh margin or reduces his exposure himself before MTM reaches 70% of clear balance his positions will be squared off without further notice.
4. In equity Segment all debits must be cleared off latest by T+2, else RMS will sell deliveries on T+3 by 12.30 p.m. to regularize the account. However in case market value of outstanding stock less debit balance in the account remains less than 25% of debit balance client will not be allowed to wait till T+3 and asked to reduce the outstanding position or deposit fresh margin same day by 2.30 p.m. else proportionate position will be squared of same day by 3.15 p.m. by RMS. And if client does not deposit fresh margin and or does not reduces himself reduce the outstanding position the same will be squared off as soon as market value of outstanding stocks less debit balance in accounts remains less than 15% of debit balance.
5. Sub Broker/AP cheques will be treated as confirmed subject to 1 time of his security deposit.
6. Defaulter List shall be reviewed on monthly basis and client may be removed from defaulter list on review by VPs.
7. Payment control Report for debit recovery from the clients is made on daily basis and follow-up for the payment on regular basis done by RMS department.
8. All sticky client codes to be brought in the knowledge of management regularly.