Peak Margin 4: The Finale
From 01-Sep-21, the requirement for Peak Margin enters Phase 4. Keep reading to know everything important about this announcement -
A little background on Peak Margin Requirement: In Dec-20, SEBI introduced a new set of guidelines for Collection & Reporting of Peak Margin – which refers to the highest margin requirement of trades done during the day. The roll-out of Peak Margin requirement was to be done in 4 stages with a gradual increase in the upfront margin required.
Phase 4 of the implementation plan begins from 01-Sep-21 whereby 100% of total applicable margin will be required as peak margin to place your orders.
Let’s see how this works out with the help of an Example:
Key Points to Remember:
- From 01-Sep-21, 100% of total applicable margin will be required as peak margin to place your orders, across all segments including Intraday Orders.
- To avoid margin shortage penalty, Funds Payout will be done twice during the day – once before the equity market opens & once after the equity market closes.
To avoid any interruptions in trading:
- Keep your Angel One account well-funded at all times, and/or
- Raise a Margin Pledge request for your shares lying in your Angel One Demat account
We conclude our series on Peak Margin with this post - Peak Margin 4 is here to stay. We wish you a happy and safe trading as always. For more details, feel free to visit the below links: