MARGIN FACILITY

Margin Loan is a credit line extended to you by us to facilitate your daily stock market activity. If you are interested in buying a stock but do not have enough cash, we help you to complete this transaction by bringing you additional funds in the balance. The finance is provided to you up to a percentage of the value of your equity portfolio. Margin Loans are extended to eligible clients who fulfill some standard criteria. To avail margin facility, contact your Relationship Manager or the nearest digital booth.

KEY TAKEAWAYS

1. A margin account allows a trader to borrow funds from a broker, and not need to put up the entire value of a trade.
2. A margin account typically allows a trader to trade other financial products, such as futures and options (if approved and available with that broker), as well as stocks.
3. Margin increases the profit and loss potential of the trader's capital.
4. When trading stocks, a margin fee or interest is charged on borrowed funds.