Amidst finding the cure for the pandemic of COVID 19 and the implementation of new margin policies of SEBI, the stock market industry has been facing a lot of heat from the trading community. To provide a breather to our clients we’ve worked in our backend and we're happy to announce the implementation of the Single Margin Account in FYERS with effect from 30th November. It has been implemented based on the feedback received from the community. So let’s get started!
What is a Single Margin Account?
A Single Margin Account is an account through which clients can trade in all the segments (i.e., Equity, FNO, CDS, and Commodity instruments) with a Single Limit. Previously, there were two separate Limits (i.e., Capital and Commodity), but with the implementation of Single Margin in FYERS, the clients can trade in all the segments with one limit without any hassles.
- You can get a unified trading experience across all the segments i.e, you need not maintain separate funds in capital and commodity segments.
- Eliminates the possibility of a delay to transfer funds from capital to commodity and vice versa.
- The trader need not go through the cumbersome process of transferring funds and withdrawing funds between the accounts.
- The additional charges incurred by the trader for separately transferring the funds can be saved.
- The traders can focus on the opportunities available across segments and need not worry about maintaining funds separately.
How it works
A single margin account allows fungibility of funds between segments. Previously, if a client wanted to trade, he had to transfer funds separately in order to trade in capital and commodity segments.
For Example, Mr. X wants to trade in the F&O segment, transfers Rs. 1 Lakh to his capital account. Here, he wouldn’t have been able to trade in the commodity segment with the same limit. If he wanted to trade in commodities, he'd have to transfer a separate amount to his commodity segment or withdraw his funds from the capital segment, wait for it to get credited into his bank, and then transfer the same to his commodity segment. This process was cumbersome and time-consuming.
So, in order to make the trader’s experience easy and efficient, Single Margin Account has been implemented through which traders can maintain funds in a single account and trade across segments.
For Example, Mr. Y wants to trade in Equity, transferred Rs. 1 Lakh, and has taken a position of SBIN for Rs. 50,000. After an hour or so, he found an opportunity in Natural Gas. Here, Mr. Y will be able to take the position as an amount of Rs. 50,000 is still unutilized and there is no bifurcation between the capital & commodity segment (Limit wise).
What are the changes for existing clients that had 2 margin accounts?
Not much. A single limit will be shown to all the clients with 2 margin accounts even if they have separate funds.
For Example, Mr. Ramesh has Rs. 10,000 in his capital account and Rs. 25,000 in his commodity account. So, his funds available will be displayed as Rs. 35,000 without bifurcation.
Operational Changes - Adding Funds, Withdrawing funds, Payout timings.
- The procedure to add funds will be the same but only one account will be displayed instead of capital and commodity segment shown separately.
- The withdrawal procedure will also be the same but with a single ledger. No Group 1 (Capital) & Group 2 (Commodity) bifurcation.
- All the payout will be processed at 6:30 AM on working days. Requests placed before 6:30 AM will be honored on the same day. Requests placed after 6:30 AM will be honored the next day. Now you may wonder why? This is because the payouts can only be done after the trades & backend processes are completed and the commodity process happens after MCX closing hours.
We hope that this update will help you allocate your capital more efficiently & capitalize on opportunities instantaneously. We thank you for your patience and invaluable patronage. We’re coming up with more exciting things in the future.
Stay Tuned & Happy Trading!
Can I buy liquid mutual fund using ur platform and use that liquid fund as collateral by pledging?
This pledged margin will be available for both commodity and capital trades.
Is that right?
Hey Ankit, Yes that's right. You can do it. 👍
Good, day by day improving....
1. Pledging mechanism change to automate system not by email
2. Remove minimum pledging amount 10000 rs limit
3. Buyback shares also make it online
@Tejas Khoday @FYERS
Hey Ganesh thanks for your feedback.. We'll make it happen soon.
Good one!!!..easy to trade in any instrument..
Yep. That was the idea! Hope it helps you.
But is the required margins displayed in the order window like Zerodha does?
Is it on Fyers web or Fyers one?
Not yet @Ujwal Sandeep but we'll do this soon. Stay tuned!
Thanks a lot for introducing single margin account and we understand the efforts taken to acheive this. tahnks to the team.
Waiting for Monthly brokerage plan ..pl introduce if possible..very helpful for us.
Hi @Dr Gopi AG, Thanks for appreciating. Monthly brokerage plan is not on the horizon.
Any plan to provide a facility for investing and trading in foreign markets? @Tejas Khoday
No concrete plans, as yet @Aman Gupta. What is it that you want to trade in foreign markets?
having global market exposure would be a good thing if possible for retailers. you can spot an opportunity everywhere and would be good to hedge or diversify the portfolio.
Many brokers have started providing US market exposure but would be great if this number could be more. Yeah, I understand that a lot of things would need to happen on the compliance side too.
Hi @Tejas Khoday and @FYERS ,
Congratulations and thanks for achieving this and providing this facility to us. It makes those who are not trading in Commodity to facilitate trade in Commodity.
Also a great move to cancel account opening charges.
Thanks, Sachin! :)
This is a great news from your side. Hats off to entire Fyers team. I heartly thankful to you that you provide best opportunity to trade in both segment with single margin. It will be a blessing for small traders like me.
Wish you all success in your endeavors in this new year.
Hey Vijay, Thank you! Yeah, we did it so that you don't have to shuffle funds. I know how painful it is and wanted to get rid of the double ledger a long time ago but implementation takes time.
Thanks Tejas! It was much awaited.
Thx for your patience @Nishit.
Hi @Tejas Khoday This platform is a blessing, congratulations to the entire team! I wanted to ask, are the margin calculators updated in FNO segment (Bracket orders)? Cause with the new SEBI margin rules, the calculator still shows the same amount as it was showing before. Would really appreciate to hear from you on this, Thanks & kudos.
Hi Pranav, the margin calculator is upto date for all the segments.
For the changes w.r.t the peak margin implementation, you can refer here.
Its not useful to me because of your RMS policy is not allowing me to place the orders . I am not able to trade in crude because of you have min cap for profit and Stop loss. My strategy has 10 point SL and 20 for profit and that is not allowed in Fyers . This made me to open an account and use Aliceblue for crudeoil trading . Similarly today RMS policies rejected my orders for Bank nifty options buying trading bec I have 20 points as SL . These restrictions making me to close the account in Fyers .
I love this single margin account concept. Left zerodha and currently trading with fyers for this reason. Fyers all in one window web platform is awesome. Need to implement trailing stop loss in CO cover order. Need CPR indicator. Please implement this to take Fyers platform to next level.
That sounds good, but my account still shows two separate accounts, capital & Commodity.
So how can I have a "Single Margin Account", explain the procedure, please?