Leverage for bidding in delivery

[Bhavik567]

Hi. Suppose I have 10 lakhs cash in my trading account. I want to be able to place bids of at least 10x that amount, suppose 10 lakhs in 10 different securities. I don’t mind if the 9 bids get cancelled automatically if any one transaction goes through. Is it possible with Zerodha or do any other brokers allow this? I don’t want to be paying any interest . Thanks.

 

[sxchzy]

mtf isnt provided for ipo afaik
you would require to pledge your holdings to get interest free leverage
also that leverage cant be used to buy shares delivery

 

[Bhavik567]

mtf isnt provided for ipo afaik
you would require to pledge your holdings to get interest free leverage
also that leverage cant be used to buy shares delivery

Not about IPO. Bidding for shares. Example, HDFC is at 1900 currently. I can bid at 1850.

 

[sxchzy]

for that you need to take mtf angel and icici provide the same but they charge interest at 16-19% per annum depending on the subscription plan
not possible wtihout interest .
you can do intraday at 5x leevrage which gets auto squared off at eod by 3:20 max
or futures where you can buy 10L worth of shares buy buying a lot of futures worth 2L

 

[Bhavik567]

for that you need to take mtf angel and icici provide the same but they charge interest at 16-19% per annum depending on the subscription plan
not possible wtihout interest .
you can do intraday at 5x leevrage which gets auto squared off at eod by 3:20 max
or futures where you can buy 10L worth of shares buy buying a lot of futures worth 2L

I have an interest in a few illiquid scripts where there are sellers/transactions just a few times a week. Doesn't make sense blocking money for whole days when there probably might not be a single seller. Hence, trying to figure out a way. These scripts are not in FNO or such. No way to square off EOD. And pay interest for what when there won't be a transaction!! I will have more than enough cash to cover up for any transactions that happen.

 

[sxchzy]

interest would be on the amount utilised so if an order isnt executed it wont charge any interest
also execute at market if you are that interested to buy those stocks

 

[Bhavik567]

also execute at market if you are that interested to buy those stocks

No sellers many times!!

interest would be on the amount utilised so if an order isnt executed it wont charge any interest

Ya, that would be useful for me. Will enquire if that is the way MTF works!! Thanks

 

[thanix]

I have an interest in a few illiquid scripts where there are sellers/transactions just a few times a week. Doesn't make sense blocking money for whole days when there probably might not be a single seller. Hence, trying to figure out a way. These scripts are not in FNO or such. No way to square off EOD. And pay interest for what when there won't be a transaction!! I will have more than enough cash to cover up for any transactions that happen.

This is regular T+1 delivery, I guess. It will depend on the margin requirement of broker since it is especially illiquid scripts. I don't think any discount broker will allow it.

 

[Bhavik567]

This is regular T+1 delivery, I guess. It will depend on the margin requirement of broker since it is especially illiquid scripts. I don't think any discount broker will allow it.

Don't mind full service broker and associated costs. If you know any broker that would allow this, let me know. Thanks

 

[sxchzy]

No sellers many times!!

interest would be on the amount utilised so if an order isnt executed it wont charge any interest

Ya, that would be useful for me. Will enquire if that is the way MTF works!! Thanks

icici has a valid till cancel order where it automatically keeps an order the next day in case order isnt executed
check that out as welll

 

[thanix]

Don't mind full service broker and associated costs. If you know any broker that would allow this, let me know. Thanks

Depends on your City. There are many brokerages available. Integrated Enterprises is one such in Chennai. Check the list online and choose.