Clients looking for instant liquidity to trade in large volume of shares but desiring to carry their positions forward for longer period can avail of MTF facility as directed by SEBI. This facility can be seamlessly linked to the broking account held with JM Financial Services by execution of a simple rights and obligation document.
Just like any other funding facilities, the client will have to maintain agreed minimum margins in the account by way of cash or approved securities. Thus a client can avail greater leverage to diversify their portfolio and make the most of the market opportunities at the time of placing the order itself.
The loan amount can be repaid partially or fully at any time by the client and holdings will be released to the client’s Demat account with JM Financial Services.
Statement of loan and funded shares will be circulated to the clients on a daily basis so that he is abreast of the status of his loans. All SEBI MTF trades will be marked differently in the contract notes at the end of the day for easy identification.