As per RBI regulations, Non Resident Indians trading in NRE status are required to settle their purchase and sale transactions in exact rupee amount. Hence no leverage is provided for NRE accounts.
However, as per the recent relaxation by RBI, click here here to know more, NRO clients can avail our normal leverage facilities which are listed below
b) MIS and
NRML for Delivery Based Trades
NRML is the product type under which you will be able to get leverage as per the details given below.
|Segment||Carry Forward Margin (Product type NRML)|
|Equity Cash||3X for the F&O Scrips, 2X for Scrips where the VAR margin < =20%, and 1X for scrips where the VAR margin > 20%|
|Equity Futures||SPAN + MTM Margin (Exposure margin)*|
For example with Rupees 1 lakh margin or with a collateral value of 1 lakhs (after haircut) you will be able to buy upto 4 lakhs. The remaining 3 lakhs can either be settled by transferring funds or by selling the stocks before Trade + 5 working days. In case these are not settled, the stocks held under house account towards debit will automatically be sold on T+ 5th working day. An interest at 2% per annum will be levied for debits held for more than 2 working days.
MIS - For Intra-Day trades
MIS is a Intraday leverage product under which you will be able to square of your position during the day before 3.14pm failing which the system will auto square off the same from 3.15pm or when the MtoM hits 80% whichever is earlier. We have given below a table explaining the number of times exposure is provided under MIS product and CO i.e Cover Order. Click here to know more on Cover Order
|Segment||Intra-day Leverage under product code MIS|| Intra-day Leverage under product code CO|
|Equity Cash||10X on All F&O Stocks|| Between 30X - 40X on all F&O stocks|
|Equity Futures||SPAN + MTM Margin (Exposure margin)*|| -|
Margin Trade Funding (MTF)– This is a unique product of Tradeplus that allows you to buy stocks upto 4 times of your collateral value and cash value and hold it for a maximum of 1 year. You may basically leverage your stocks and take positions without deploying cash for a maximum of 1 year. Click here to know more on MTF.