Buy Now. Pay Later. Enhance your buying power with our Margin Trading Facility.
Step 1: Access the Buy Page
Step 2: Set MTF as the Product Type
Step 3: Accept Disclaimer
Step 4: Review order summary
Step 5: Swipe to buy
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Margin Trading Facility (MTF) is an exchange-approved product wherein individuals can purchase stocks by paying only the initial margin, with the remaining amount being funded by Kotak Securities Ltd. One can either keep the position open as long as they want or can take delivery of the stock.
The interest charges are as low as 0.028% per day, which are applied from T+1 day onwards. These charges vary for all users based on the brokerage plan they have selected.
With the introduction of the pledge model in September 2020, it has become mandatory to pledge stocks purchased under the Margin Trading Facility.To hold your MTF position for as long as you want, user are required to pledge the stocks purchased under MTF on T Day on the link received from NSDL.
Yes, there is a charge of Rs.20 + GST per ISIN for both pledging and unpledging.
In the event that you fail to pledge the stocks purchased under MTF, your position will be liquidated.
With Kotak Securities Ltd, once you have pledged your MTF stocks, you can maintain your position for as long as you wish, or you may choose to convert the position to cash.
Cash, existing stocks, and ETFs kept in their Demat account can be used as margin post pledging.