Indian Indices
Global Indices
Commodity (SPOT)
Currency (SPOT)
03 Dec 2016 | 3:11 PM
 
Existing Customer

FAQs - Passwords

If I have purchased a share, how will I receive its delivery?
  Once you buy any share, you need to pay the funds to procure the delivery.

In case you had registered a POA Depository account with your trading account, shares will directly transfer to your depository account on receipt of payment or else the same will be retained in your margin trading account.

In case you have not submitted the payment on time, the shares received from your exchange will be automatically credited to your trading margin account and will be transferred to your depository account post settlement of funds.
   
If I have sold some shares, can I use the cash credit there from to buy other shares?
  Settlement of funds is done on net basis for each segment, thus you can buy the other shares from the cash credit received against the selling of shares.
   
If I have sold, do I have to give delivery of shares?
  Once you sold the shares, the same need to be delivered to exchange within the prescribed settlement cycle.

You can opt for transferring of shares by yourself duly submitting the delivery instruction slip to your depository to pool account of broker under the same settlement where you have sold the shares.

Or alternatively, for ease of auto settlement you may opt for Limited purpose power of attorney and broker will issue relevant debit instructions to your depository for transfer of securities from your demat account to broker’s pool account for delivery to exchange.
   
Can I given delivery of shares against my wife’s/ family member’s sale positions?
  No, you can transfer the shares only from your own self account, any transfer from your wife/relative’s account will be termed as “Third party transfer” and will not be acceptable.
   
What is a short delivery?
  Short delivery refers to a situation where a client, who has sold certain shares during a settlement cycle, fails to deliver the shares to the member either fully or partly.
   
What is a Buy-in?
  Buy-in refers to a situation where in case of short delivery from a client, broker purchase the securities from the market and deliver to the buyer.

In case of Buy-in, client who has short delivered the shares will be debited with purchase rate for recovery of delivery from the market + 1% penalty calculated on the purchase price.
   
What is an auction?
  An auction is a mechanism used by the exchange to fulfil its obligation towards the buying trading members. Thus, in case for a settlement, the selling trading members have delivered short, their deliveries are bad or they have not rectified the company objection reported against them, the exchange purchases the requisite quantity from the market and gives them to the original buying member.

If the shares could not be bought in the auction i.e. if the shares were not offered for sale in the auction, the Exchange squares up the transaction as per SEBI guidelines.
   
What is meaning of Trade for Trade Scrip?
  In a normal rolling settlement, exchange allows netting of trade position at the end of trading session. However in certain scrips, exchanges disallow netting of position and settle every trade with deliveries.

Such scrip are termed as “Trade for Trade Scrip”. In case if a client buys 100 shares of a company and sale 100 shares of same company on the same trading session then he/she have to deliver 100 shares to exchange for Pay-In and he/she will receive pay out of 100 shares from exchange/broker.
   
How does auction take place in Trade for Trade scrip?
  In case of any short delivery by the client of any Trade to Trade Scrip, the position will be compulsorily close out and client (seller) will require to borne hefty penalty on the same.

Simultaneously, the buyer will get the close out credit in case of short delivery from selling party.
   
Is there any way to adjust blank sale or Can I trade in STBT?
  No, Sell Today Buy Tomorrow or a blank sale is not permitted.
   
What is the meaning of Close out?
  In case of any short delivery that couldn’t be settled even in auction settlement of exchange or buy-in procedure of broker, the stated trades gets settled as “Close Out”.

Equity exchanges like BSE/NSE have their own prescribed close out procedure that can be referred from the below links:

For NSE: http://www.nseindia.com/products/content/equities/equities/exceptnl_situations.htm

For BSE: http://www.bseindia.com/markets/equity/EQReports/tra_Self-AuctionCloseout.aspx?expandable=6

   
What is an auction?
  An auction is a mechanism used by the exchange to fulfil its obligation towards the buying trading members. Thus, in case for a settlement, the selling trading members have delivered short, their deliveries are bad or they have not rectified the company objection reported against them, the exchange purchases the requisite quantity from the market and gives them to the original buying member.

If the shares could not be bought in the auction i.e. if the shares were not offered for sale in the auction, the Exchange squares up the transaction as per SEBI guidelines.
Other FAQs
Passwords
Order & Trade
Online / Internet Trading
Trading Segments
Trading Products
Margin
Pool Account
Stock
Funds
Linking of Bank / Demat Account
Trade Reports / Contract Notes
Depository Account
Delivery Instruction Slips / Stock Transfer
Physical Certificates/ Dematerialization
Settlement
Settlement of Trades
Nomination
Service Branch & Relationship Manager
Contact Details Updation (Change of E-mail / Mobile Updation/ Address)
Dormant
Power of Attorney
Corporate Action
Signature Change
Customer Services
Account Closure
Trading FAQs
Regenerate OTP
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