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Community User Posted on 11:16am 14-May-2021

MTF Buy when do I have to pay ?

  • ICICIdirect Executive Thank you for the query. We would like to inform you that with MARGIN TRADING FUNDING (MTF ) you pay a small initial margin to buy stocks today and repay the balance amount in 365 days.

    In order to buy stocks under margin products, a part of the amount needs to be paid initially. This amount is termed as Initial Margin. Margin differs across stocks and is different for different products. To view Initial and Minimum margin for any stock, visit Stock List page on www.icicidirect.com. You can estimate the margin amount by calculating it as a percentage of total position value. For example, if Mr. X buys 100 shares of ABC Ltd in Margin Trading at Rs.100 per share, the total value of his purchase becomes Rs. 10,000. If initial margin applicable on ABC Ltd is 30%, it means Mr.X will only have to pay Rs. 3000 to take position in this stock and will get 1 year to back the remaining Rs. 7000.

    For more details, click on the below link:
    https://www.icicidirect.com/products/margintrading

    12:21pm 14-May-2021