MTF Pledge Acceptance: Important Points to Note

1. MTF Funded Positions:

   • Stocks reflect under MTF funded positions only after the pledge is accepted.
   • Without pledge acceptance, purchases are treated as cash segment stocks bought without sufficient funds.

2. Consequences of Non-Acceptance:

   • Peak Margin Penalty: Failure to accept the pledge may result in a peak margin penalty.
   • Sale of Shares: Shares may be sold on T+1 day to cover the debit in your account.

3. Penalty for Non-Acceptance:

   • To discourage non-acceptance of the pledge, a charge of 1% of the pledge transaction value, with a minimum of Rs. 50, will be debited if the pledge link is not accepted within the prescribed time
4. Key Takeaway: Ensure timely acceptance of the pledge link to avoid penalties and potential forced sale of shares.