Can there be a change in the margin requirements for my open MTF/BTST positions?
Margins collected by Geojit for MTF and BTST positions are as stipulated by the exchanges. Any increase in the margins prescribed by the exchanges will result in an increase in margin requirements for your open MTF and/or BTST positions.
For example, Mr Ram has Rs. 20,000 in his trading account as margins. He purchases 50 shares of HDFC at Rs. 2,000 per share (Rs. 1 lakh) using the MTF facility, for which the margin requirement is 20%.
On the next day, the exchange increases the margin requirement for this position to 25%. As a result, Mr Ram will receive an email requesting him to bring in additional margins of Rs. 5,000 to his trading account in order to meet the additional margin requirement.