MTF and Margin Facility

1

Hi, Equities purchased via MTF will be pledged automatically? If yes, will that provide additional Margin benefits? pls clarify.

Thanks.

2

Hi @Leo, Yes, Scrips bought under the MTF product type will be Auto pledged. While the pledge margin is provided, it remains blocked since margin is already extended against the pledge. Therefore, you will not receive any additional margin for trading. Hope this clarifies.

3

How to calculate margin shortfall in mtf position?

4

Hi @ANANDHAKUMAR_MURUGAN, MTF margin shortfall can be checked through the Dhan App by navigating to: Money > Margin Summary tab > available for investing.

Please check the collateral amount in this section. If the collateral amount is less than the unrealised amount, and your ledger balance is zero, a MTF margin shortfall is likely to occur.

Also, you can directly check from the MTF portfolio for the total MTM loss.