Announcements

Payout requests not getting processed? Confused about why you are getting partial payouts? The reason behind this could be linked to Peak Margins! Keep reading to find out how….

About Peak Margins:

In Dec-20, SEBI introduced a new set of guidelines for Collection & Reporting of the margin obligation, whereby exchanges and clearing corporations have to take minimum of 4 random snapshots of trading positions. The highest margin of these 4 snapshots is considered as the Peak Margin of the day.

The roll-out of Peak Margin requirement was done in 4 stages with a gradual increase in the upfront margin required. From 01-Sep-21, 100% of total applicable margin is required as peak margin to place your orders.

WHAT THIS MEANS FOR YOU

• You will need to pay upfront margin before placing any trade across all segments, including Intraday.
• You will need to ensure that you maintain an account balance equal to or more than the peak margin requirement in order to execute your order.

HOW DOES THIS AFFECT YOUR PAYOUT

Consider this example to understand how your payout may get rejected or partially paid out in the case of Intraday -

Now assume that:

• Your Ledger Balance at the start of the day was = Rs 1,50,000
• As per the example above, your Peak Margin Requirement = Rs 31,250

In this scenario:

The maximum payout that you can request for = Rs 1,50,000 – Rs 31,250 = Rs 1,18,750

Hence, if you have requested a payout for more than Rs 1,18,750 you will receive a Partial Payout after taking into consideration your Peak Margin requirement. Rs 118750 will be credited on T Day and the balance Rs 31,250 will be credited on T+1 (F&O segment) & T+2 (Cash segment) subject to margin obligations.

WHEN WILL THE PAYOUT BE CREDITED TO YOUR ACCOUNT

Payout requests are processed and funds credited as per the below table