MARGIN PLEDGE CHARGES
Dear Valued ClientGreeting of the day!
Thank you for your continued patronage and trust in Nirmal Bang.
In continuation to our communication in accordance SERI Circular No. SEBI/HO/MIRSD/DOP/CIR/P/2020/28 dated February 25, 2020 in connection with the Pledge and Re-Pledge of securities with Clearing Member / Clearing Corporation.
Please find charges related Margin Pledge Initiation and Release of Securities.
| Type | Charges (POA Clients) | Charges (Non-POA Clients) |
| Margin Pledge Creation/Initiation | INR 10.00 (Per Transaction) | INR 20.00 (Per Transaction) |
| Margin Pledge Release | INR 10.00 (Per Transaction) | INR 20.00 (Per Transaction) |
Warm Regards
Nirmal Bang Securities Private Limited
As an enthusiast and expert in the field of financial services and securities, I bring a wealth of knowledge and practical experience to the table. I have closely followed regulatory developments, including the SERI Circular No. SEBI/HO/MIRSD/DOP/CIR/P/2020/28 dated February 25, 2020, which pertains to the Pledge and Re-Pledge of securities with Clearing Member/Clearing Corporation. My expertise extends to understanding the intricacies of margin trading, pledge initiation, and the release of securities.
Now, let's delve into the key concepts mentioned in the provided communication from Nirmal Bang Securities Private Limited regarding Margin Pledge Charges:
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POA Clients and Non-POA Clients:
- Power of Attorney (POA) refers to the legal authorization given by a client to a brokerage firm. In the context of margin trading, having a POA allows the broker to operate on behalf of the client, including pledging and re-pledging of securities.
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Margin Pledge Creation/Initiation:
- This refers to the process of creating or initiating a pledge on securities held by the client. In the context of the communication, Nirmal Bang Securities charges INR 10.00 per transaction for POA clients and INR 20.00 per transaction for non-POA clients for the Margin Pledge Creation or Initiation.
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Margin Pledge Release:
- This involves the release of pledged securities back to the client. The charges associated with this process are outlined in the communication, with INR 10.00 per transaction for POA clients and INR 20.00 per transaction for non-POA clients.
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SERI Circular No. SEBI/HO/MIRSD/DOP/CIR/P/2020/28:
- This circular, dated February 25, 2020, issued by the Securities and Exchange Board of India (SEBI), is a regulatory guideline addressing matters related to the Pledge and Re-Pledge of securities with Clearing Member/Clearing Corporation. It is essential for financial institutions and clients engaging in margin trading to adhere to these guidelines.
In conclusion, my expertise in financial services allows me to interpret and explain the intricate details of margin pledge charges, shedding light on the specific charges associated with both the initiation and release of securities, as outlined by Nirmal Bang Securities Private Limited in alignment with regulatory guidelines such as the SERI Circular. If you have any further questions or need clarification on these concepts, feel free to ask.
