Currency FAQ

The term 'Derivatives' indicates it derives its value from some underlying i.e. it has no independent value. Underlying can be securities, stock market index, commodities, bullion, currency or anything else. From Currency Derivatives market point of view, underlying would be the Currency Exchange rate. Derivatives are unique product, which helps in hedging the portfolio against the future risk. At the same time, derivatives are used constructively for arbitrage and speculation too.

2. What are the benefits of trading in Currency Derivatives

Currency Derivatives are very efficient risk management instruments and you can derive the below benefits:

i. Hedging: You can protect your foreign exchange exposure in business and hedge potential losses by taking appropriate positions in the same. For e.g. If you are an importer, and have USD payments to make at a future date, you can hedge your foreign exchange exposure by buying USDINR and fixing your pay out rate today. You would hedge if you were of the view that USDINR was going to depreciate. Similarly it would give hedging opportunities to Exporters to hedge their future receivables, Borrowers to hedge foreign currency (FCY) loans for interest and principal payments, Resident Indians, who can hedge their offshore investments.

ii. Speculation: You can speculate on the short term movement of the markets by using Currency Futures. For e.g. If you expect oil prices to rise and impact India's import bill, you would buy USDINR in expectation that the INR would depreciate. Alternatively if you believed that strong exports from the IT sector, combined with strong FII flows will translate to INR appreciation you would sell USDINR.

iii. Arbitrage: You can make profits by taking advantage of the exchange rates of the currency in different markets and different exchanges.

iv. Leverage: You can trade in the currency derivatives by just paying a % value called the margin amount instead of the full traded value.

3. What categories of Currency Derivatives contracts are offered for trading through ICICIdirect?

Future and Option contracts in Currency derivatives have been introduced in India. Trading in Currency derivatives through ICICIdirect is presently offered in both Future and Option contracts in NSE only.

4. What are Currency Futures Contracts?

Currency Futures contracts are legally binding agreement to buy or sell a financial instrument sometime in future at an agreed price. Currency Future contracts are standardized in terms of lots and delivery time. The only variable is the price, which is discovered by the market. Currency Futures contracts have different expiry validity and will expire after the completion of the specified tenure.

5. Who is eligible to trade in Currency Derivatives?

All Resident Indians as defined in section 2(v) of the Foreign Exchange Management Act, 1999 (FEMA, Act 42 of 1999) are eligible to trade in the Currency Derivatives segment. For participation by regulated entities, concurrence from respective regulators should be obtained. Currently, trading facility in Currency Derivatives at I-Sec will be offered to all Resident Individuals / HUFs / eligible Corporates fulfilling the FEMA criteria.

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b) Account Opening

1. Do I need to open a new account for trading in Currency Derivatives?

(a) Existing Customers: No, if you are an existing customer and have a 3-in-1 ICICIdirect.com account and your linked ICICI Bank account is more than 6 months old you activate your account for Currency Derivatives Segment online by accepting the Online Terms and Conditions for Currency Derivative. If your linked ICICI Bank Account is not more than 6 months old you can activate your account for Currency Derivative Segment by submitting the prescribed documentation. To apply for Currency Derivatives please contact customer care at 24-hour Customer Care Number or you can also write to us at helpdesk@icicidirect.com We will be glad to assist you further.

(b) New Customers: Yes, all new customers need to apply for a 3-in-1 Account. The Account Opening Form already includes prescribed documentation for Currency Derivatives. For further information on how to open a 3-in-1 account, please feel free to contact any of our 24-hour Customer Care Number . you may also write to us at helpdesk@icicidirect.com We will be glad to assist you further.

2. Is an existing customer required to submit additional document(s) to begin trading in Currency Derivatives?

No, if you are an existing customer and have a 3-in-1 ICICIdirect.com account and your linked ICICI Bank account is more than 6 months old you activate your account for Currency Derivatives Segment online by accepting the Online Terms and Conditions for Currency Derivative. If your linked ICICI Bank Account is not more than 6 months old you can activate your account for Currency Derivative Segment by submitting the prescribed documentation.

3. What documents would I be required to submit for registering myself in for Currency Derivatives? Do I need to submit any proofs along with the documents?

(a) Existing customers: If your linked ICICI Bank account is more than 6 months old then you can activate your account for Currency Derivatives Segment online by accepting the Online Terms and Conditions for Currency Derivative

(b) New customers: If you are not already a registered customer of I-Sec, you will have to open a 3-in-1 account with I-Sec. The account opening documentation for the 3-in-1 form has been consolidated for all product offerings and contains the Currency Derivatives documentations also. Proof of identity and address, as prescribed, would be required to be submitted along with the new account opening form.

4. I am an existing customer why do I need to sign and submit additional documentation for trading in Currency Derivatives?

The additional documentation requirements have been specified by the regulators and as a broker ICICI Securities Ltd (I-Sec) needs to comply with these requirements.

5. How will I receive the intimation on registration for Currency Derivatives?

You will receive an e-mail once your form has been successfully processed and you are registered for Currency Derivatives. You will be required to accept the online Terms and conditions applicable to Currency Derivatives and you can immediately start trading.

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c) Trading in Currency Derivatives

1. How can I start trading in Currency Derivatives?

Once you are registered for Currency Derivatives after completing the below steps:
. Login into your account with your user id and password,
. Accept the online "Currency Derivatives Terms and Conditions" and
. Allocate funds from Modify Allocation link for Currency Derivatives segment

2. On which exchanges can I trade in Currency Derivatives at www.icicidirect.com ?

ICICI Securities offers Currency Derivatives trading facility on the National Stock Exchange of India Ltd. (NSE).

3. What are the trading hours for Currency Derivatives?

Trading in Currency Derivatives through www.icicidirect.com is allowed during the exchange specified timings. Currently, the trading hours on NSE for Currency Derivatives are between 9:00 am to 05:00 pm, from Monday to Friday. The Exchanges may alter the trading hours on any day for any reason that the Exchanges may deem fit. On the day of expiry, expiring contracts are tradable till 12:30 PM only.

4. Can I place orders through the Call Centre?

Yes. You can place Currency Derivative orders through our Call Centre by using the Call N Trade facility.

5. Can I place overnight orders (orders outside market hours) in Currency Derivatives segment?

Yes. Overnight orders are allowed to be placed in Currency derivatives segment. Only Limit orders are permitted and such orders will be sent to the exchanges on the next trading day once the markets open.

6. What are different order types that are available in Currency Derivatives?

You have the following order types in Currency Derivatives:

. Day orders: Day orders are orders which remain valid only for one trading session. Any unexecuted order pending at the end of the trading session is expired.
. Immediate or Cancel (IOC orders): IOC order allows the user to buy or sell a contract as soon as the order is released into the system, failing which the order is cancelled by the system. Partial match is possible for the order and the unmatched portion of the order is cancelled immediately.

d) About Currency Futures and trading in Currency Futures at ICICI Securities Ltd (I-Sec)

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1. What is Currency Futures Trading at ICICI Securities Ltd (I-Sec)?

As a customer of I-Sec, you can now trade in Currency Futures on NSE .

You can take buy/sell positions in eligible underlying currency contracts expiring in different months. If, during the course of the contract life, the exchange rate moves in your favor (rises in case you have a buy position or falls in case you have a sell position), you make a profit. In case the exchange rate movement is adverse, you incur a loss.

2. Which currency exchange rates are eligible for Currency Futures trading? Why is the stock list restricted to specific currencies exchange rates only?

I-Sec enables currencies for trading in the Currency Futures and Option segment. Only those currencies which are allowed by the exchanges are made available by I-Sec for currency Futures and Options trading. Currently, in Future USDINR, EURINR, GBPINR, JPYINR and in Option USDINR, GBPINR,JPYINR,EURINR is permitted by the exchange and will be enabled by I-Sec for trading in Currency Futures and Option segment.

3. How is Currency Futures trading different from Equity Derivatives trading?

Equities Derivatives trading allows you to trade in Stocks and Index. While Currency Derivatives trading allow you to trade in currencies; currently in USDINR, EURINR, GBPINR, JPYINR in Future and USDINR, GBPINR, JPYINR, EURINR, in Option. Settlement in both the segments is presently done in cash.

4. How is the Currency Futures contract defined?

USDINR Future contract expiring on 28 June, 2022 is defined as "FUT-USDINR-28-Jun-2022". Wherein, "FUT" stands for Futures as currency derivatives product, "USDINR" for underlying currency exchange rate and "28-Jun-2022" for the expiry date.

5. What is an "Underlying" and how is it different than "Contract"?

A Currency exchange rate enabled for trading on futures is called an "Underlying" e.g. USDINR. There may be various tradable contracts for the same underlying based on its different expiration period. For example FUT-USDINR-28-Jun-2022, FUT-USDINR-29-Jul-2022 and FUT-USDINR-26-Aug-2022 are "contracts" available for trading in currency futures having USDINR Exchange rate as "underlying".

6. When do the Currency Futures contracts expire?

Currency Futures contracts expire two working days prior to the last business day (i.e. Last trading day at exchange) of the expiry month.

7. How do I place buy/sell order (s) in Currency Futures?

To place Buy/Sell orders in Currency Futures, you will have to do the following:

. Visit the "Place Order" page
. Define the Currency Underlying Code
. Select "Futures" in the "Product" drop down box
. Click on "Select the contract". This will display the whole list of contracts available in the given Currency code expiring in different months.
. Select the contract in which you wish to trade
. Click on the "Buy / Sell" link. This will take you to the buy / sell page.
. Define the Order Type i.e. Market or Limit, order validity period eg. Day, Limit Price and Stop Loss Trigger Price if any.

8. How much margin would be blocked on placing the Currency Futures order? How is margin blocked?

Initial Margin amount is blocked at the time of order placement on the orders placed. Initial Margin amount is blocked for the underlying portfolio i.e. including pending order(s) and the existing open position(s), if any, under an underlying. You can check the Margin obligations on your portfolio for an underlying including pending order(s), if any, from the "Margin Calculator" link on currency trading page. The blocked margin also includes the notional loss, if any, on the existing positions under a portfolio for an underlying.

9. Is the margin % uniform for all Currencies?

It may not be so. Margin amount required may differ from underlying to underlying based on the risk involved in the underlying and your portfolio that exists for the underlying, which depends upon the liquidity and volatility and price change of the respective underlying besides the general market conditions. For e.g .if there are offsetting positions in your portfolio then you may get reduced margin due to the hedging benefit available. However, it shall be at the discretion of ICICI Securities (I-Sec) to consider a particular combination of positions as hedged positions and the margin benefit may not be available on all hedged/offsetting positions. But all contracts within the same underlying would attract combine margin amount requirements.

10. Can margin be changed during the life of contract?

Yes, margin % can be changed during the life of the contract depending on the volatility in the market, the risk parameter file issued by exchanges and current market price of the contract(s)/underlying. It may so happen that you have taken your position and Rs. 7,500 (approx.) margin is taken for the same. But later on due to the increased volatility in the prices, the margin is increased to Rs. 10,000 (approx.). In that scenario, you will have to add margin or allocate additional funds to continue with your open position(s). Otherwise it may come in MTM loop and get squared off because of insufficient margin. It is advisable to keep higher allocation or do add margin to safeguard the open position from such events.

11. Is margin blocked on all Currency future orders?

No. Margin is blocked only on such Currency Future orders, which result into increased risk exposure.

In case you have placed orders in a near month contract and the middle month contract of the same underlying, for calculating the margin at order level,value of all buy orders and sell orders (in the same underlying-group) are added. Margin is levied on the higher of two i.e. if sum of buy orders is higher than the sum of the sell order value, then all buy orders will be margined and vice versa.

In other words, margin is levied at the maximum marginable order value in the same underlying.

For example, you have placed the following buy and sell orders.

Contract Details Buy Orders Sell Orders

No. of Lots Qty Rate Order Value No. of Lots Qty Rate Order Value

FUT-USDINR-27-Aug-2009 1 1000 45 45000

FUT-USDINR-28-Sep-2009 1 1000 49 49000 2 2000 52 104000

FUT-USDINR-28-Oct-2009 1 1000 40 40000

d) Total 2 2000 94000 3 3000 144000

As explained above, margin is levied on the higher of Buy and Sell Order value. In the above given example, Sell Order Value is greater than Buy Order Value. Hence margin would be levied at specified margin % on Rs. 144000.

12. What happens if buy or sell orders are placed when there is some open position already existing in the same underlying?

If you place a Buy/Sell orders in an Underlying, in which you already have an open position, margin will be levied as per the following calculations:

. First the Marginable buy/sell order lots will be calculated.

Marginable Buy Order = Buy Order at Underlying - Open Net Sell Position

Marginable Sell Order = Sell Order at Underlying - Open Net Buy Position

.Marginable buy / sell order value is then arrived as follows .

Marginable Buy / Sell Order Value = Buy / Sell weighted average price * Marginable Buy / Sell lots

. For Order Level margin, Marginable buy order value and Marginable sell order value would be compared and margin would be levied on higher of the two.

For example, in the above example there is an open sell position of 1 lot of 1000 Qty " FUT-USDINR-27-Aug-2009". Marginable buy and sell order quantity would be 1 lot of 1000 Qty and 3 lots of 3000 Qty respectively. Marginable buy and sell order value would be Rs. 47000 and Rs. 144000 respectively.

13. Is margin required for each order and position of an underlying contract?

A consolidated margin amount on portfolio level will be calculated for all Futures and Options pending orders and open positions within an underlying. Margin will not be calculated or maintained separately for each order or position of an underlying contract.

14. Who decides the margin amount and is calculated on what basis?

The margin amount is calculated by arriving at the SPAN margin using the Standardized Portfolio Analysis of Risk (SPAN) system used by the Exchanges for margin computation plus the Exposure Margin. Exposure Margin is the margin amount required by ICICI Securities on the notional value of positions to be created by the Client and on existing positions based on the prices of the relevant contract or underlying which is added to arrive at Initial Margin. Over and above the Initial Margin, I-Sec would require the notional loss on the portfolio as margin to cover the risk and also safeguard your positions from being squared off intraday due to insufficiency of margins. The exchange specified SPAN margin is based on the risk parameter file that is issued by the exchange from time to time during a trading day and considers a base price and other volatility and price change arrays for margin computation. The exposure margin for futures positions is calculated on the order/trade price for the contract position at the time of order/trade execution and current market price on open positions at the time of running intraday mark to market process. The exposure margin for short options is calculated on the underlying spot prices existing at the time of order/trade execution and the Current spot price existing for open positions at the time of running intraday mark to market process.

15. Can required margin amount on positions be different after order execution as compared to margin requirement at the time of order placement on the same positions?

Yes, there could be scenarios wherein margin charged at position/trade level can substantially increase as compared to the margin charged at order level. If you do not maintain sufficient margins required to meet the new Initial Margin requirement post trade execution, then ICICI Securities may square off such positions while running Intraday Mark to Market (IMTM) process at its sole discretion without consulting or intimating the Client and the Client shall be solely responsible for any losses arising on account of the same.

16. Is margin calculated and displayed for each contract?

No. Margins are calculated taking the entire orders/positions i.e. all currency Futures and Options pending order(s) and open position(s) under a specific underlying portfolio and not for each contract. Hence, one consolidated margin amount would be displayed against each underlying portfolio on your open positions page under the currency trading section.

17. What is meant by 'squaring off ' a position? What is a cover order?

Squaring off a position means closing out a Currency Future position. Squaring off a position means closing out a futures position. For example, if you have futures buy position of 1000 quantity of USDINR expiring on 28th June 2022, squaring off this position would mean taking sell position in 1000 quantity of USDINR expiring on 28th June 2022 on or prior to 28th June 2022. The order placed for squaring off an open position is called a cover order.

The order placed for squaring off an open position is called a cover order.

18. How do I place a square off order to close my open positions?

You can place the square off order either through the normal buy/sell page or through a hyper link "Square off" provided on the "Open Position" page.

19. Can an underlying be disabled from trading during the day?

I-Sec may, at its sole discretion, disable any particular underlying during the day from further trading under the facility.

20. Can I square off the open positions in the disabled underlying?

Yes, you can square off the open positions in the disabled underlying through square off link available on open position page. However, if you need to modify a square off order placed for disabled contract, you need to cancel the order and place a new square off order

21. I have placed the square off order. Can I modify that order?

Yes. You can modify the square off order until it is not fully executed.

22. What is initial margin (IM) on order(s) or open position?

Initial Margin means the amount of margin (either in the form of cash) required by ICICI Securities to be deposited with it by you before undertaking Transactions in currency Futures and Options for an underlying portfolio and also on a continuing basis thereafter on open positions which shall include SPAN Margin plus Exposure Margin plus notional loss on positions and such other additional margin as may be specified by ICICI Securities from time to time. Initial margin amount is required to be allocated under currency limits. The initial margin required at position(s) (post order execution) level may be different than the margin amount applicable for orders. Position level margin amount can be arrived at by using the Margin calculator link under currency trading page by entering your positions or expected positions.

23. When is initial margin computed for my order(s) or position(s)?

As mentioned above, Initial margin is first computed on order placement for an underlying portfolio including the order and then re-computed for all positions and pending orders within an underlying portfolio at any event for any order of that underlying portfolio like on modification, cancellation, execution, cover order execution against open position. In addition to these events, margin would also get recomputed during running intraday MTM process and EOD MTM Process, details of which are mentioned separately in FAQs

24. What is meant by calendar spread?

Calendar spread means risk off-setting positions in contracts expiring on different dates in the same underlying. For example, you take buy position for 2000 quantity in FUT-USDINR-28-Jun-2022 @ 70 and sell position for 1000 quantity in FUT-USDINR-29-Jul-2022 @90. 1000 buy position in FUT-USDINR-28-Jun-2022 and 1000 sell position in FUT-USDINR-29-Jul-2022 forms a spread against each other and hence called spread position. In this example, the balance 1000 quantity buy position in FUT-USDINR-28-Jun-2022 would be non-spread position.

I-Sec may, at its discretion, allow Reduced Margin benefits on spread position. I-Sec may allow such benefit for the spread position between Near month and Middle month contracts only.

25. Which open positions will be included to calculate notional loss required to be added to the blocked margin amount as at the time of order placement or modification or cancellation or execution?

All your buy and sell futures open positions and short option positions will be included to calculate the notional loss required to be added to the blocked margin amount for an underlying portfolio.

26. Will reduced margin benefit be available to my calendar spread positions? Till when the reduced margin benefit on my spread positions be available?

Yes. There will be reduced margin benefit available on your spread positions. As per exchange, spread benefit is made available till the last date of expiry. Similarly, I-Sec will extend the spread benefit till the last date of expiry.

27. Whether any penalty would be levied by ICICI Securities due to short reporting of margin on positions?

Penalties are levied by Exchanges on stock brokers for short reporting of margin collected from clients. As per NSE circular no. NSE/INSP/19583 dated December 14, 2011, if clients fail to provide required margin amount on positions then the penalty amount levied by Exchanges can be recovered from clients by stock brokers. Accordingly, if you fail to allocate sufficient funds or margin pledge securities towards your margin obligations on positions, the penalty amount may be recovered from you by debiting your linked bank account or invoking selling shares which are margin pledged and lying in your linked demat account.

28. Will I get reduced margin benefit on my hedged Futures and Options positions which offset one another?

Yes. You will get reduced margin benefit on your offsetting Futures and Options positions and positions within Options which form a hedge depending on the type of positions created by you. However, it shall be at the discretion of ICICI Securities to consider a particular combination of positions as hedged positions and the margin benefit may not be available on all hedged/offsetting positions. You will need to maintain and provide the mark to market loss amount at the end of day for your open Futures position even if they form a hedge as this would be required to be paid to exchange which is applicable for Futures open positions irrespective of the profits on the other hedged leg of options. This would mean that only reduced margin benefit is made available on your hedged positions.

For E.g. You have two positions in USDINR namely; Long USDINR Futures 28-Jun-2022 and Long USDINR Put 84.0 dated 29-Mar-2012 this would be considered hedged by ICICI Securities and the reduced margin on combined position would be approx. Rs.900/- whereas if you had Long USDINR Futures 29-Mar-2012 and Long USDINR Call 840 29-Mar-2012 this would be considered as non-hedged and margin on individual Long USDINR Futures 29-Mar-2012 would be approx. Rs.2500/- and premium would be required on placing Long USDINR Call 84.0 29-Mar-2012.

29. Will I get margin benefit on hedged positions taken in different month contracts?

Yes. You will get margin benefit on hedged positions in different month contracts.

For e.g. You can take hedged position of Long USDINR Put 28-Jun-2022 and Long USDINR Future 28-Jun-2022.

30. What will happen to my hedged or calendar spread positions after expiry? Will the margin benefit be removed?

If you have a hedged position with one leg position in the near month and the other leg position in a different month then the near month position if not squared off by you on the last trading day of expiry will get closed out at the end of day by exchange. Due to this, the other leg in different expiry month of your hedged open position will become naked and there will be no margin benefit available as the hedge benefit would be removed at the end of day. Thereby, increased margins would be required on your open positions at the end of day at expiry. You would be required to keep sufficient margins for your open position(s) at the end of day to comply with exchange margin requirement and if the required margin is not made available then your position may get squared off on the next day due to insufficient margin. Thereby, you are advised to either square off both the positions forming hedge on the last day of expiry if one leg is expiring or else square off the expiring month position and immediately create the hedge with a different expiry month contract of that underlying to continue the benefit of reduced margins on your hedged positions even after expiry.

31. How do I see my open positions? What all position details would be made available?

You can view all open Futures and Options positions by clicking on "Open Positions" link under Currency trading section. The open positions page gives details such as contract details, buy/sell position, open position Qty, pending buy & sell order Qty, average price, Trigger Price, Trigger price, last traded price (LTP), total margin blocked on the open position and pending orders, minimum margin required, available margin at underlying portfolio group level. Further, under actions column you will have the links namely; square off, My MTM and Add Margin.

32. What is average price displayed on the open positions page?

The average price displayed on options page would display price information for Futures and Options open positions. The average price displayed would be as follows:

1.For Futures :
. Intraday: Average price column would display the weighted average trade price of the positions taken during the day.
. End of Day (EOD): Average price column would display the closing price of the contract at which EOD MTM is carried out for your futures contract positions. This price would become the base price for the next day in case positions are kept open and displayed under the same column of average price under open positions page.

2.For Options : Average price column will always display the weighted average trade price of the options contract position irrespective of whether position taken during the day or carried forward as open position on next day.

33. How do I place a square off order to cover my open positions?

You can place the square off order either through the normal buy/sell page or through a hyper link "Square off" on the "Open Position" page.

34. I have placed the square off order. Can I modify that order?

Yes. You can modify the square off order until it is not fully executed.

35. How does the profit and loss get recognized on execution of square off (cover) orders in case of futures?

Profit/Loss on execution of square off orders is calculated by comparing the execution price of cover order with:

. The weighted average price at which the position was built up in case the position was built during the day.

. The previous trading day EOD MTM price (as shown in the "Open Positions - Futures" table) in case the position has been carried forward from the previous day.

For example, say you have a futures position - 'Buy 2 lots of 2000 Qty USDINR' in contract FUT-USDINR-27-JUL-2022 at an average price of Rs. 78 created through the execution of two orders - 'Buy 1 lot of 1000 Qty @ Rs. 77 ' and 'Buy 1 lot of 1000 Qty @ Rs. 79'. If you square off a part of the position by selling 1 lot of 1000 USDINR @ Rs. 78.5, the profit on such square off would be calculated as:

Quantity squared off * (Execution price of Square off transaction - Weighted Average Buy price of the position)
1*1000 * (78.5 - 78) = 500

Profit or Loss for all your trading transactions can be checked from the "Portfolio Details" link on the Currency trading page.

36. When do you release the margins blocked on Currency Future positions?

Margins blocked on a position are released only after the Currency Future positions are squared off.

Net amount, after considering the following, is released:
. Margin blocked on Positions
. + Add margin
. +/- Profit/Loss incurred on Square off
. - Applicable taxes.

37. How does my limit get impacted whenever a buy/sell order is executed?

If the Buy/sell order placed by you is a fresh order (i.e. an order which would result into building up an open position), on execution of the order, the margin blocked at the time of order placement gets appropriately adjusted for the difference, if any, in the order price at which the margin was blocked and the execution price. Accordingly, the limits are adjusted for differential margin.

If the Buy/sell order placed by you is a cover order (order which would result into square off of an existing open position), on execution of the order, your Limits would be adjusted for the following:
. Release of margin blocked on the open position so squared up
. +/- Profit/Loss incurred on Square off
. - Applicable taxes.

If the Buy/Sell order placed by you results into building a spread position, on execution of the order, your Limits would be increased with the amount of differential margin released.

For example, you are taking an open buy position for 1 lot of 1000 qty in FUT-USDINR-27-Aug-2009 @ Rs 50 and IM is 5%. Approx. Rs 2500 would be blocked as an initial margin. Thereafter, you take a sell position for 1 lot of 1000 qty in FUT-USDINR-28-Sep-2009 @ Rs 55 and spread margin is 2%. Hence the execution of FUT-USDINR-28-Sep-2009 order is resulting into spread position. As explained above, margin required would be max(0, (1*1000*55*2% - (55-50)*1*1000)) = Max(0,(1100 - 5000)) = 0. Hence the excess margin of Approx. Rs 2500 (2500-0) would be released and added into your currency trading limits.

Continuing the above example, if you place a sell order for 1 lot of 1000 qty in FUT-USDINR-27-Aug-2009 @ 51, margin of Approx. Rs. 2550 would be required to place this order. This margin would be required despite being a cover order to square off the open position in the same contract. Reason for the same is that the order now being placed by you would result into the increased risk exposure since the buy position of 1 lot of 1000 qty in FUT-USDINR-27-Aug-2009 has already been considered as position building up spread position. If buy position of 1 lot of 1000 qty in FUT-USDINR-27-Aug-2009 is squared off, sell position of 1 lot of 1000 qty in FUT-USDINR-28-Sep-2009 @ Rs 55 would become non-spread position and subjected to margin at 5 % IM.

38. What is Intra -Day Mark to Market? How does I-Sec call for additional margin during the Intra-day MTM process?

Once the Available Margin falls below the Minimum Margin, I-Sec may, at its discretion and at a suitable time, run the Intra-day Mark to Market process. Through this process, the system would block additional margin required out of the Limits available, if any.

In case there are no Limits available, the Intra-day Mark to Market process would cancel all pending orders for the underlying group and if still there is additional margin required, the process would square off the positions for which Available Margin is below the Minimum Margin and there exists a margin shortfall.

39. What is meant by Minimum Margin?

Minimum Margin is the margin amount, you should have available with us all the time. Once the available margin with us goes below the minimum required margin amount, our system would block additional margin required from the limits available.

40. How do you calculate available margin?

Available margin is calculated by deducting notional loss (if any) on the open positions forming part of an underlying from the margin blocked at underlying portfolio level.i.e. Available Margin will be computed for each underlying separately.

Which positions are considered for calculating the notional profit or loss within an underlying portfolio to arrive at available margin?

Your notional profit and loss on long & short Futures and Short options contract positions within an underlying would be considered for computing the available margin at an underlying portfolio level.

Where can I see my Available Margin on site?

Your Available Margin will be displayed on your Open Positions Page at each underlying portfolio level under the Currency section.

41. What is My MTM link given on Open Positions page?

My MTM is an additional facility provided to you in the form of a link against each underlying portfolio under the actions column of your open positions page to check whether your position is likely to get squared off during the intraday MTM process run which is run by I-Sec risk management team. This link will facilitate you to mark up your margin on open positions to revised initial margin requirement including notional losses, if any, for your underlying portfolio if the additional margin amount required is available under your limits. If limits are insufficient then your positions in a particular underlying portfolio for which you have clicked My MTM will be marked for square off and highlighted with red background colour indicating that your positions under that particular underlying may get squared off when intra day MTM square off process is run by I-Sec.

42. What happens to my open positions on clicking this My MTM link?

On clicking the My MTM link for an underlying portfolio on the open positions page you will be required to submit Currency My MTM page. On submitting you will get a message that your positions have been marked to market successfully. This would mean as follows:

1. If Available Margin (AM) < Minimum Margin: If your available margin (AM) is less than minimum margin (MM) and the revised initial margin required is available in your limits then system will block margin to mark up to revised margin requirement. In case your limits are not sufficient to meet your revised margin requirements then system will mark your position for square off and your Available Margin column would be highlighted in red background colour. You can allocate additional margin against such positions to safeguard your positions from being squared off when I-Sec would run intraday square off process.

2. If AM > MM: If your AM is more than the MM then no action will be taken for your underlying portfolio on clicking the My MTM link.

43. How do you calculate additional margin required when the available margin is below the minimum margin required?

In that case, margin required on the underlying portfolio is re-calculated by taking latest SPAN margin and exposure margin at contract CMP/underlying spot price of futures /options contract positions respectively. Available margin as calculated above should now be compared with the revised required margin and amount for additional margin call is arrived at.

For example, say you have bought 1000 Qty of Futures - USDINR - 28 June 2022 at Rs.150 and margin blocked is Approx. Rs.3000 and the minimum margin required is Approx. Rs.1500 The current market price is now say Rs.130. This means the effective available margin Approx. Rs.1000 which is less than the minimum margin of Approx. Rs.1500 and hence additional margin to be called in for. Revised initial margin calculated is say Approx. Rs.2600. Then Additional margin to be calculated as follows:

a. Margin blocked
Approx. Rs.3000
b. Less : MTM Loss
(150-130)*100
Approx. Rs.2000
c. Effective available margin (a-b)
Approx. Rs.1000
d. Minimum Margin required
Approx. Rs.1500
e. Re-calculated revised initial margin
Approx. Rs. 2600
Additional margin Call
(e-c)
Approx. Rs. 1600

44. How do I check if there is a margin shortfall on any open position?

If available margin on any open position is highlighted in red colour, it indicates that the available margin on that position has fallen and is very close of breaching the minimum margin requirement. If available margin falls below the minimum margin required on that position, then such position may be squared off in the intraday MTM process, if additional margin is not allocated. This shall be considered as a margin call on that position. You are advised to allocate additional margin immediately to meet the margin shortfall else such position may be squaredoff by I-Sec, on best effort basis.

Further, please note that the Open Positions page does not refresh automatically. You need to frequently refresh the page by clicking on 'View' button to view latest details as the Available Margin is subject to change on every change in CMP.

Once the position gets displayed in red colour, colour of such position shall be updated only after intraday MTM process is run by I-Sec or by client.

45. How do you call for additional margin during the Intra-day MTM process?

Once the available margin falls below the minimum margin required, our system would block additional margin required out of the funds allocated in currency segment, if any.

46. What happens if limits are not sufficient to meet the additional margin requirements?

Our risk monitoring system/team may, at its discretion place a square off order at market rate to close the open position. However, before placing the square off order all pending futures and options orders in that underlying-portfolio group (contracts having same underlying and recognized in the same group for portfolio) are cancelled by our risk monitoring system/team. Following are the sequence of actions taken by our risk monitoring system/team.

1. Cancel all pending futures and options orders in that underlying-portfolio group and see if limits are now sufficient to provide for additional required margin. If yes, block the additional margin, else go to step (2).

2. Square off in Lot size and/or at the discretion of I-Sec, first near month contract Short Options position which is more in the money (if there are multiple Short Options position of near month in that underlying portfolio group). If limits are now sufficient to provide for additional required margin. If yes, block the additional margin, else go to step (3).

3. If there is no near month Short Options contract then it square-off next month Options contract which is more in the money (if there are multiple Short Options of next month) in that underlying portfolio group and see if limits are now sufficient to provide for additional required margin. If yes, block the additional margin, else go to step (4).

4. If there is no Short Options contract, then it should square-off near month Futures position (out of Long or Short Futures contract) with maximum loss (if there are multiple Short or long Options position of near month in that underlying portfolio group). If limits are now sufficient to provide for additional required margin. If yes, block the additional margin, else go to step (5).

5. If there is no near month Futures contract, then it should square-off next month Futures contract with maximum loss (if there are multiple Long or Short Futures contract of next month) in that underlying portfolio group and see if limits are now sufficient to provide for additional required margin. If yes, block the additional margin, else carry on the process in the same way till all the positions in that underlying portfolio group are totally squared off.

However, it is clarified that if, for any reason, the risk monitoring system/team does not square off the open position even in a situation where the limits are not sufficient to meet additional margin requirements, it is ultimately the customer's responsibility to square off the open position on his own to limit his losses or provide sufficient margins required on open positions.

Once a position has been created by the customer, he is solely responsible for the profits or losses emanating from such position. ICICI Securities Ltd is under no obligation to compulsorily square off any open position and in no circumstances, can be held responsible for not squaring off open positions or for resulting losses therefrom.

47. What happens if the limit is insufficient to meet a margin call but there are unallocated clear funds available in the bank account?

While making an online check for available additional margin, our system would restrict itself only to the extent of trading limit and would not absorb any amount out of un-allocated funds so as to keep your normal banking operations undisturbed. It is, therefore, advisable to have adequate surplus funds allocated for trading when you have open positions.

However, ICICI Securities reserves the right to block and/or debit even unallocated clear funds available in the bank account.

48. Can I do anything to safeguard the positions from being closed out?

Yes, you can always allocate additional margin, suo moto, on any underlying portolio having open positions. Since the close-out process is triggered when minimum margin required is more than available margin, having adequate margins can avoid calls for any additional margin in case the market turns unfavorably volatile with respect to your positions under an underlying portfolio. You can add margin to your particular underlying portfolio by clicking on "Add Margin" link available for a specific underlying group total on the "Open Positions" page by specifying the margin amount to be allocated further. However, you should keep in mind that whatever margin you add during the day will remain there only till the end of day mark to Market (EOD MTM) is run or upto the time you square off your position in that underlying and group completely. Next day if you want some more margin to be added towards the same open position, you will have to do 'Add Margin'again.

Please note there is also an additional tracking tool provided to track your positions on the basis of Trigger Price and LTP. For more details, you can refer below FAQs.

49. What is the Trigger price displayed on Open Position page for Futures product?

Trigger price is just an additional tracking tool provided to track your positions to ascertain at what price level the position may get squared off on the basis of Trigger Price and LTP. Please note, Trigger Price would be displayed on Open position page only in case there is marginable position in a single contract in an underlying. However, you can continue to track your positions for intraday mark to market process at portfolio level on the basis of Available Margin and Minimum Margin. Accordingly you can allocate additional funds if Available Margin amount is displayed with redcolour. Trigger price is a price displayed for ease in tracking the position for any mark to market margin shortfall and will be just an indicative that your position may likely to come under the mark to market process and may get squared off if LTP breaches the indicated trigger price.

50. Will the Trigger Price be displayed against all the Open positions?

Trigger Price would be displayed only in case there is marginable position in a single contract in an underlying. Hence, Trigger Price may not be displayed against all currency Future open positions in scenarios like Future spread positions (including both Perfect & imperfect spread positions), when additional future or option position/order(s) is created with same/different flow in same underlying & different contract since, in SPAN there is common open positions page and also Intraday Mark to Market process is at underlying portfolio level including Futures & Short Options. In such cases, 'NA' will be displayed under Trigger Price column.

51. Will Trigger Price be calculated immediately on order placement?

No, trigger price will not be calculated immediately on order placement. Trigger Price gets calculated only once your Futures Buy or Sell order results into an executed trade and becomes an open position. Please note, Trigger Price would be displayed on Open position page only in case there is position in a single contract in an underlying.

52. How is the Trigger Price calculated for Futures positions?

a. Trigger Price is calculated as follows in case of Buy positions:

Example: If you have currency Futures Buy position of 1 Lot of USDINR at Rs 78.5000 expiring on 27th May 2022 where margin blocked against position is Rs.3852 and Minimum Margin is Rs. 2674.5 Trigger Price calculation for Future Buy Positions: WAP on Contract level - ((Blocked Margin - Minimum Margin) / Open Position Quantity*Lot), Trigger Price = 78.5000 - {(3852-2674.5)/1000*1} = 77.3225

b. Trigger Price is calculated as follows in case of Sell positions:

Example: If you have currency Futures Sell position of 1 lot of USDINR at Rs 78.2500 expiring on 27th May 2022 where margin blocked against position is Approx. Rs. 3824.5 and Minimum Margin is Approx. Rs. 2650.75 Trigger Price calculation for currency Futures Sell Positions: WAP on Contract level + ((Blocked Margin - Minimum Margin) / Lot*Open Position Quantity), Trigger Price = 78.2500+ {(3824.5-2650.75)/1000*1} = 79.4238 Please note Trigger Price will be rounded up to the tick size for Buy positions and rounded down to the Tick size for sell positions.

53. Can a Trigger Price displayed earlier change at a later time?

Yes. Trigger price may change if there is any change in existing position quantity or change in Margin value on existing Positions. Some of the events where Trigger Price may change are like increase in open position/order quantity in same contract, partial square off of existing position quantity, Add Margin, EOD MTM. Also, in case there is existing position with additional order(s) in same contract then Trigger Price would be recalculated on any change in margin value due to events like order modification, cancellation, rejection, order expiry etc.

54. What is meant by EOD MTM (End of Day - Mark to Market) process?

Daily EOD MTM is a mandatory feature of Currency Futures Settlement Process. Every day the settlement of open Currency futures position takes place at the Settlement Price declared by the exchanges for that day.

The Base price as shown in the Open Position - Futures page is compared with the Settlement price and difference is cash settled. In case of profit/loss in EOD MTM, Limits are increased/reduced by the amount of profit/loss ; net of applicable brokerage, taxes, statutory levies. The position is carried forward to the Next day at the previous trading day's Settlement price at which last EOD MTM was run. Settlement price for all the contracts are provided by exchange after making necessary adjustment for abnormal price fluctuations. It is different than LTP.

55. What would be the effect of EOD MTM on margin blocked at underlying portfolio level?

Yes, EOD MTM does have its impact on margin at underlying portfolio level only for futures. Margin is re-calculated at EOD MTM and differential margin is blocked or released as the case may be. To provide sufficient margin on underlying portfolio for futures open positions after EOD MTM, you must ensure that sufficient allocation is available under Currency segment. You must visit the allocation amount for Currency on daily basis and allocate further if present allocation is found insufficient.

Due to daily MTM and payin/payout, allocation amount for Currency may come down over a period of time and because of the same, futures open position may fall in MTM loop and may get squared off unless you allocate fresh amount for Currency. Payin amount is debited from allocation you make for Currency but payout credit is given in your linked bank a/c but allocated under Blocked for Trade (BFT) section of your Currency limits. However, ICICI Securities reserves the right to debit the payin amount from even unallocated clear funds available in the bank account if funds allocated in Currency is insufficient.

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e) What is Interest Rate Future?

1. What is Interest Rate Future?

Interest Rate Futures are standardized interest rate derivative contract to buy and sell a notional security or any other interest bearing instrument at a specified future date, at a price determined at the time of the contract.

2. Which Interest Rate Future contracts are introduced for trading on ICICIDirect.com?

Interest Rate Futures Contracts are based on the list of underlying as may be specified by the Exchange and approved by SEBI from time to time.

3. Where can I view futures contracts and underlying for trading in Interest Rate Futures?

You can view underlyings for Interest Rate Futures (FUTIRC) contracts on 'Underlying List' page and contracts can be selected either through the 'Place order' link by entering the underlying name or by clicking on underlying name through 'Underlying List' page under Currency segment.

4. Will there be separate market hours to trade in IRF contracts on Currency Derivatives?

No, you can trade in Interest Rate Future(IRF) contracts during current Currency derivative market trading hours (Monday to Friday 9:00 A.M. To 05:00 P.M.) only.

5. What is the Expiry Day for the Interest rate Future contracts traded in Currency Derivatives?

Expiry Date will be the last Thursday of the month. In case the last Thursday is a trading holiday, the previous trading day shall be the expiry/last trading day. The FUTIRC contracts shall expire at the normal market closing time on the expiry day or such other time as decided by Exchange.

6. How much margin would be blocked on placing the Interest Rate Futures order?

Initially, margin is blocked at the applicable margin percentage of the order value. For market orders, margin is blocked considering the order price as the last traded price of the contract. On execution, the same is suitably adjusted as per the actual execution price of the market order. The initial margin percentage can be checked from the "Underlying List" link under the Currency trading segment. You can check the margin required to create your position from "Know Your Margin" link under Currency trading segment.

7. Can margin % be revised during the life of the contract?

Yes, margin % can be revised during the life of the contract depending on the volatility in the market. It may so happen that you have taken your position at 4% margin. But later on, due to the increased volatility in the exchange rates, the margin % is increased to 5%. In that scenario, you will have to allocate additional funds to continue with the open position, else such position may come in the MTM loop and get squared off because of insufficient margin. It is advisable to keep higher allocation to safeguard the open positions from being squared off.

8. Is margin blocked on all Interest Rate Future orders?

No. Margin is blocked only on such Interest Rate Future orders, which result into increased risk exposure.

In case you have placed orders in a Near month contract and the middle month contract of the same underlying, for calculating the margin at order level, value of all buy orders and sell orders (in the same underlying-group) are added. Margin is levied on the higher of two i.e. if sum of buy order value is higher than the sum of the sell order value, all buy orders will be margined and vice versa.

In other words, margin is levied at the maximum order value in the same underlying.

For example, you have placed the following buy and sell orders.

Contract Details Buy Orders Sell Orders

No. of Lots Qty Rate Order Value No. of Lots Qty Rate Order Value

FUT-883GS2023-23-Apr-2014 1 2000 62 124000

FUT-883GS2023-29-May-2014 1 2000 65 130000 2 200 62 248000

FUT-883GS2023-26-Jun-2014 1 2000 60 120000

Total 2 4000 254000 3 6000 368000

As explained above, margin is levied on the higher of Buy or Sell Order value. In the above given example, Sell Order Value is greater than Buy Order Value. Hence margin would be levied at specified margin % on Rs. 368000.

9. What would be the brokerage payable on Interest Rate Future trades?

The brokerage for Interest Rate Future trades would be the normal brokerage charged currently on similar lines to that of existing Currency Derivative trades based on your existing brokerage plan selected by you. You can refer the brokerage schedule on our website www.icicidirect.com on the path Customer service page>Important Information>Brokerage.

To know more about order placement, square off, margin calculation, spread benefits, MTM etc in Interest Rate Futures (IRF), please click here and refer to the FAQs available which are similar to currency derivatives.

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f) Settlement Obligation in Futures

1. What kind of Settlement obligation will I have in Currency futures?

You can have following two Settlement obligations in Currency futures market:

i. Daily Settlement Obligations:

Daily settlement obligations arise due to the following:
. PayOut/PayIn due to Profit and loss on squared off position
. PayOut/PayIn due to Profit and loss on EOD MTM of open position
. PayIn due to Brokerage and statutory levies
. PayIn due to applicable Taxes

ii. Final Settlement Obligations:

. PayOut/PayIn due to Profit and loss on close out
. PayIn due to Brokerage and statutory levies on close out
. PayIn due to applicable Taxes

2. Where can I see my Settlement obligation?

You can view your obligations on the "Cash Projections" page. The date on which amount will be debited from your account or deposited in your account can be checked from the 'Cash Projection' page. You can even see the historical obligation (already settled) by giving the respective transaction date.

3. When is the obligation amount debited or credited in my bank account?

All Currency futures Daily obligations are settled by exchange on T+1 basis and Final settlement obligations are settled by exchange on T+2 basis.

Daily Settlement Obligations at I-Sec: This means that any daily obligation arising out of transactions in futures or EOD MTM on day (T) is settled on the immediate next trading day. This further means that if you have a debit obligation on day (T), the payment will have to be made on day (T) itself. Whereas, if you have a credit obligation, amount would be credited in your account on T+1 day. If T+1 day is a holiday, credit would be given to your account on the next working day.

Final Settlement Obligations at I-Sec: Your final settlement obligation will be settled in the same manner as the daily obligations except that your credit obligation will be credited to your account on T+2 day or on a subsequent working day, if T+2 is a holiday.

4. On T+1 day I have payout for a particular trade date and also payin for different trade date? Will payout and payin run separately ?

No, if different payin and payout are falling on the same day, amount would be first internally adjusted against each other and only net amount would either be recovered or paid. In cash projection, distinct particulars would be given for payin/payout internally settled and settled by way of debit/credit in bank and setting Trading Limits.

5. I have allocated funds for secondary market- Equity and F&O. Can I make use of those limits for Currency market also?

Allocation has to be done separately for Equity, Equity Derivatives (F&O) and Currency market. If you have allocated some funds for Equity and F&O, you will get corresponding trading limits only in these products separately. For trading limits in Currency, you will have to make necessary allocation separately under the Currency segment on the "Modify Allocation" page.

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g) Currency FuturePLUS Stop Loss

. What is FuturePLUS Stop Loss (i.e. With Cover SLTP Order)?

FuturePLUS Stop Loss (i.e. With Cover SLTP Order) is an intra day product having an order placement feature wherein you place two orders simultaneously wherein Fresh order will be a market/Limit order and with the second order you limit your loss on every position by necessarily placing a cover order specifying the Stop Loss Trigger Price (SLTP) and a Limit Price.
Since the FuturePLUS Stop Loss position gives a clear view of maximum downside involved in a particular position, ICICI Securities Limited (I-Sec) would block margin required for FuturePLUS Stop Loss product or maximum loss on that position, whichever is higher. ICICI Securities at its discretion may charge higher margin if it deems appropriate.

. What is fresh order?

The order which is placed for creating the position is called fresh order. The fresh order can be either a Market or a Limit order.

. Can I place a limit fresh order?

Yes, fresh order can be placed as a Limit order.

. What is a cover order?

The fresh order as defined above on execution creates an open position in Currency FuturePLUS Stop Loss product. The cover order is an opposite order taken by you to close your open position. Assuming you have taken a buy position, your cover order will naturally be a sell order. The cover order will compulsorily have to be a Cover SLTP (Stop Loss) order.

. Can I place a cover profit order?

No, currently this feature is not available in Currency FuturePLUS Stop Loss product.

. Can I place Stop Loss order after the Fresh position is taken?

No. You will need to compulsorily place Stop Loss order along with your Fresh order. In Currency FuturePLUS Stop Loss product you will not be allowed to place the Stop Loss order after placing the fresh order.

. Can I place Currency FuturePLUS Stop Loss orders in all contracts?

Only select contracts have been enabled for trading under the Currency FuturePLUS Stop Loss product. Only those contracts, which meet the criteria on liquidity and volume have been enabled for trading under this product.
I-Sec reserves the right to select the contracts for Currency FuturePLUS Stop Loss product and may, at its sole discretion, include or exclude any contract for trading in this product without any prior intimation.

. From where do I place FuturePLUS Stop Loss orders?

You can place orders in Currency FuturePLUS Stop Loss product by visiting the existing 'Place Order' with product type as 'FuturePLUS Stop Loss' under the Currency trading section. In case this selection is done then both Fresh and Cover SLTP orders can be placed simultaneously from the same page.

. What is a Cover Stop Loss order?

A Cover Stop loss order allows you to place an order which is sent to the Exchange alongwith fresh order but gets activated and is triggered only when the market price of the relevant underlying reaches or crosses a trigger price specified by you in the form of 'Stop Loss Trigger Price'. When a Stop Loss Trigger Price (SLTP) is specified in a limit order, the order remains passive (i.e. not eligible for execution) till the price of the underlying crosses the specified SLTP. Once the last traded price of the underlying reaches or surpasses the SLTP, the order becomes activated (i.e. eligible for execution at the exchange) and once triggered behaves like a normal limit order. It is used as a tool to limit the loss on a position.

Examples:
Cover Stop Loss Buy Order
'A' takes a short (sell) position in underlying USDINR at Rs. 70 in expectation that the price will fall. However, in the event the price rises above his sell price 'A' would like to limit his losses. 'A' may place a limit buy order specifying a Stop loss trigger price of Rs.71 and a limit price of Rs. 72. The stop loss trigger price (SLTP) has to be between the last traded price/fresh sell limit price (as the case may be) and the buy limit price. Once the market price of underlying USDINR touches or crosses the SLTP i.e. Rs. 71, the order gets converted to a limit buy order at Rs. 72.

Cover Stop Loss Sell Order
'A' takes a long (buy) position in underlying USDINR at Rs. 70 in expectation that the price will rise. However, in the event the price falls, 'A' would like to limit his losses. 'A' may place a limit sell order specifying a Stop loss trigger price of Rs. 69 and a limit price of Rs. 68. The stop loss trigger price has to be between the sell limit price and the last traded price/ fresh buy limit price (as the case may be) at the time of placing the stop loss order. Once the last traded price touches or crosses Rs. 69, the order gets converted into a limit sell order at Rs. 68.

Important
Please note that in a fresh buy order, the Sell SLTP should be a price lower than the buy limit price (in case of fresh buy limit order) and last traded price ( in case of both market and limit order). An SLTP cannot be placed for a price that has already been surpassed by the market when the SLTP is being placed. Similarly, in case of fresh sell order, the buy SLTP should be greater than the sell limit price of fresh order (in case of Sell fresh limit Order) and last traded price (in case of both market and limit order).

. What are the details required to be given to place a fresh order?

Following details should be provided to place a fresh order:
1. Underlying
2. Contract Details
3. Action (Buy/Sell)
4. Quantity in Lots i.e. Number of Contracts
5. Order Type - Market/Limit
6. Limit Price (if order type selected as Limit)

. Are the fresh orders and cover SLTP orders to be placed together?

Yes, the fresh and cover orders under FuturePLUS Stop Loss product are to be placed together.

. Should the quantity in lots be the same for fresh and cover SLTP order?

Yes, the quantity in lots will be same for fresh and cover SLTP order.

. What are the details for a cover SLTP order?

The details for a cover SLTP order are as follows:
1. Exchange
2. Contract Details
3. Action (Buy/Sell)
4. Quantity in Lots i.e. Number of Contracts
5. Order Type - Limit
6. Stop Loss Trigger Price
7. Limit Price
The first 4 values would be automatically picked up from the Fresh order details. The Stop Loss Trigger Price value is required to be entered by you which would be the trigger price and the order gets activated once the market price of the relevant security reaches or crosses this threshold price. The value for limit price would automatically appear in the Limit Price field based on the SLTP minimum difference % for the underlying between the Limit Price compared to the Stop Loss Trigger Price (SLTP)

. Can I cancel only cover SLTP order?

No, only cover SLTP order cannot be cancelled. However, only in cases where your fresh order gets cancelled/rejected then you shall be given a link/tool to Cancel your cover SLTP order from Order Book.

. Can I modify the fresh order?

Yes, you can modify order type and Limit price of your fresh order from order book if your fresh order is pending for execution or partially executed and cover order is also pending for execution. You can modify the fresh limit order to a Market order.

. Can I modify the cover SLTP order?

Yes, you can modify the price of your cover SLTP order subject to the Trigger price conditions being fulfilled. You can even modify the Cover SLTP order to a Market order provided your fresh order is full executed.

Assume you take a buy position for the fresh order in USDINR of 1 lot (1 lot = 1000 quantity) at current market price of 70/-. Simultaneously, you also place the sell (cover SLTP) order of 1 lot (1 lot = 1000 quantity) at Limit price 68.8050/- and SLTP 69.50/-. The above trigger condition is defined with a view to curtail losses. If subsequently the current market price shoots up to 71/-. You can modify the order as below Limit price 70.1910/- SLTP 70.90/- (i.e. SLTP can be placed upto 71) or alternatively you can modify the order to market and book profits.

. What is the quantity that can be submitted for fresh orders?

The maximum quantity that can be submitted for fresh orders is the total of best 5 Bid/Offer quantities that is available in the best bids and offers for all underlyings. If the quantity that you input is greater than the quantity available in the best 5 bids and offers then the order will not go through for any underlying.

For fresh limit order, the maximum quantity that can be submitted for fresh orders is generally the maximum quantity allowed for order placement by the exchange. However I-Sec reserves the right to modify this permissible maximum quantity based on the risk factors.

Assuming that you want to place a buy order in FUT-USDINR-26-Feb-2019 for 30 lot (1 lot = 1000 quantity) @ 70, and the first 5 offer quantity available for the buy order are as under:

Best Offer Lots Best Offer Price

1 70.0550

10 70.1000

3 70.1500

12 70.2500

2 70.2575

In the above scenario, the first 5 Offer quantity available is 28 lots and since the buy order quantity placed is 30 lots which exceeds the best 5 offer quantity, it would be rejected by the system in case of fresh market order. Similar would be the case for Fresh Sell market order, wherein if the total sell qty is greater than the sum of first 5 Bid quantity available then it would be rejected by the system. The maximum order qty for fresh market order to be placed should be equal to the first 5 best bid/offer quantity available at that point of time.

. What will be the price at which margin for an order will be calculated?

For all other underlyings, for fresh market orders the price would be calculated as the weighted average price of the best 5 bids and offers available upto the order quantity for calculating the margin requirement. If the following offers are available in the best 5 bids and offers and the client places a Buy order for quantity of 60.

Best Bid lots Best Bid Price Best Offer Lots Best offer Price

15 70.7500 15 71.0000

15 70.5000 5 71.5000

35 70.2575 32 72.0000

50 70.2000 40 72.2500

15 70.0000 10 72.5000

Calculation of Buy price

Qty Price Value

15 71.0000 1065.00

5 71.5000 357.50

32 72.0000 2304.00

8 72.2500 578.00

Weighted average price would be 71.7425 = (4304.5/60) which would be used for calculating the margin requirement for this order.

For fresh limit order, system shall take the fresh order limit price instead of weighted average price of the best 5 bids and offers for calculation of margin requirement.

. How does the concept of Currency FuturePLUS Stop Losswork?

In case of Fresh Buy:
a) Current market Price rises – Position is making a profit You can choose to modify the sell cover SLTP order to a market order to immediately book profits at market price.
b) Current market price falls - Position is making a loss: Once the current market price starts rising and reaches Sell cover SLTP price, the cover SLTP order would be triggered to a limit order. The cover SLTP order would get executed at the best prices available up to the SLTP limit price.

In case of Fresh Sell:
a) Current market price rises - Position is making a loss: Once the current market price starts rising and reaches buy cover SLTP price, the cover SLTP order would be triggered to a limit order. The cover SLTP order would get executed at the best prices available up to the SLTP limit price.
b) Current market price falls - Position is making a profit: You can choose to modify the buy cover SLTP order to a market order to immediately book profits at market price.

. What is the margin that is charged on placement of FuturePLUS Stop Loss order?

Margin in case of fresh order is charged to the extent of maximum possible loss that you may incur OR margin computed as per SLTP Margin % , whichever is higher. You may visit Currency FuturePLUS Stop Loss Underlying List page to view prescribed margins for FuturePLUS Stop Loss product which are specified at each underlying level and please note these margins are likely to be changed on daily basis.

Formula:

Fresh Buy Market order: Maximum of {[(Weighted average price of fresh order - limit price of cover SLTP order) * Quantity], [(Weighted average price of fresh order * Quantity) * SLTP Margin %]}
Please note, in case fresh sell market order the first part of the formula will change where loss will be computed as Limit price of cover SLTP order - Weighted average price of fresh order, rest of the formula will remain the same.

Fresh Buy Limit Order:

Maximum of {[(Limit price of fresh order - Limit price of cover SLTP order) * Quantity], [(Limit price of fresh order * Quantity) * SLTP Margin %]}

Margin is blocked as per the above formula on order placement and adjusted further based on the actual execution with Trade prices.

For Example, 1 Fresh Market Order: Assume you take a buy position for the fresh market order of 1 lot (1 lot = 1000 quantity) at current market price of 70/-. Simultaneously you also place the Sell (cover SLTP order) of 1 lot as Limit price 68.8050/- and SLTP 69.5/-. The SLTP margin % for the scrip is either 1.5% or 2.5%. In this case margin will be blocked as below:

(A) In case the SLTP Margin % is 1.5%
Max{[(70 – 68.8050)*1000],[(70*1000*1.5%]}
= Max (1195,1050)
= 1195.00/-

(B) In case the SLTP Margin % is 2.5%
Max{[(70 – 68.8050)*1000],[(70*1000*2.5%]}
= Max (1195,1750)
= 1750.00/-

For Example, 2 Fresh Limit Order: In the above example if you place a fresh limit order at 69.95 the margin would be computed as below:

(A) In case the SLTP Margin % is 1.5%
Max{[(69.95 – 68.8050)*1000],[(69.95*1000)*1.5%]}
= Max (1145,1049.25)
= 1145.00/-

(B) In case the SLTP Margin % is 2.5%
Max{[(69.95 – 68.8050)*1000],[(69.95*1000)*2.5%]}
= Max (1145,1748.75)
= 1748.75/-

. Would the margin be recalculated when the order gets executed?

Yes, at the time of order placement the Limit Price or current market price or weighted average price upto the best five bids or offers as applicable at that point of time is considered. It may happen that execution happens at a different price than the one at which limits have been blocked. Thereby, margin is recalculated taking into consideration the actual execution price of the order.

. Would the margin be recalculated at the time of modification?

Yes, it is recalculated and excess amount if any will be released or additional margin needed will be blocked if you change the limit price of your fresh order or cover SLTP order.

(A) In the above example of fresh buy limit order where SLTP Margin % is 1.5%, if you modify the SLTP to 69.75/- and limit price to 69.0525/-.
The amount to be blocked would be recalculated as:
Max{[(69.95 – 69.0525)*1000],[(69.95*1000)*1.5%]}
= Max (897.5,1049.25)
= 1049.25/-
The excess amount of 95.75/- would be released and added in your limit.

(B) In the above example of fresh buy limit order where SLTP Margin % is 1.5%, if you modify the SLTP to 69.00/- and limit price to 68.31/-. The amount to be blocked would be recalculated as
Max{[(69.95 – 68.31)*1000],[(69.95*1000)*1.5%]}
= Max (1640,1049.25)
= 1640/-

Additional amount of 495/- would be blocked. If limits are insufficient then you will be unable to modify the order.

. Is the SLTP minimum difference % between SLTP and Limit price of Cover SLTP order different for different underlying?

Yes, I-Sec would define different SLTP minimum difference percentage for different underlying depending upon the volatility and market conditions of underlying.

. What is the difference between limit price and SLTP price that can be specified for a Cover SLTP Order?

Depending on the underlying volatility and market situation, I-Sec Ltd would specify the SLTP minimum difference % between limit price and SLTP of your cover SLTP order that can be maintained on order placement and modification for a particular underlying. This percentage could be revised by I-Sec even during the day. Existing orders would be unaffected by the revision but however if the orders are modified the revised percentage would apply.

The value for Limit Price would automatically appear in the Limit Price field based on the SLTP minimum difference % for the underlying between the Limit Price compared to the Stop Loss Trigger Price (SLTP).
Example: A 1% difference has to be maintained between the limit price and SLTP for cover SLTP order for USDINR.
You have taken a buy position (fresh order) of 1 lot (1 lot = 1000 quantity) in USDINR at Current price of 70/-. You specify the sell order (Cover SLTP order) for 1 lot in USDINR at SLTP of 69/-. Since this is a sell cover SLTP order the limit price would be lower than the SLTP. Limit price of Rs 68.31/- = (69-(69*1%)) will automatically appear in the Limit Price field.

. Where can I see the SLTP minimum difference % for a particular underlying?

You can view the SLTP minimum difference % between SLTP and Limit price of your cover order for various underlying by visiting the Currency FuturePlus Stop Loss Underlying list page of www.icicidirect.com

. If the Cover SLTP order gets rejected by Exchange, will I be able to re-enter the Cover SLTP Order?

Yes, you would be able to place Cover SLTP Order from the Open Positions screen where a link named 'Order' will appear if the same is rejected by Exchange. The link shall only appear when your fresh is full executed and cover is rejected.

. What happens to the open position remaining at the end of the day?

In case of FuturePLUS Stop Loss product, all the positions created for the day are expected to be squared off by the customers before the market closes as this is an Intra day product. In case, if the positions still remains open at the end of day, I-Sec on best effort basis would first cancel all the pending cover orders and then initiate the Square off process at a pre determined timing at market price for all the open positions.

If for any reason position still remains open after end of day then it will be treated as Futures position by exchange and I-Sec and all obligations and margin as applicable to Futures would apply to such open positions. If sufficient margin is not available with you towards such open positions, exchange would levy a short margin collection penalty which I-Sec shall recover from you. In case your cover order gets excess execution than your fresh order then such case shall be squared off on best effort basis by I-Sec and if for any reason, position still remains open after end of day then it will be treated as Futures position by exchange and I-Sec. This will also be handled by I-Sec on the same lines as mentioned above.

. What happens to the pending fresh and cover SLTP orders remaining at the end of the day?

In case of FuturePLUS Stop Loss Product, all the pending orders which remain unexecuted for the day would be cancelled by the I-Sec on best effort basis. However, for any reason order still remains pending and could not be cancelled then after end of day this shall get expired.

. Will there be any Mark to Market process like in normal Future trading?

No. Since the feature of cover SLTP order is available which also indicates the maximum downside involved in a particular position, there is no need of mark to market process.

. Do I have the option of Add Margin?

No. The option of Add Margin is not available, since it is not relevant due to absence of Mark to Market process in FuturePLUS Stop Loss product.

. Where do I view my open positions?

You can view your positions on the Open Positions page of your www.icicidirect.com account.

. Can I-Sec disable any contract or underlying from trading in FuturePLUS Stop Loss product during the day?

Yes, I-Sec can disable any contract or underlying from trading in FuturePLUS Stop Loss product during the day.

.What will happen to the orders that I have placed in such disabled contracts or underlyings?

You will be unable to place new orders in such contracts or underlyings. However, you can modify the orders already placed. To square off such positions you can modify cover SLTP order to a market order.

. Can I-Sec disable a contract or underlying from placing fresh Limit order in FuturePLUS Stop Loss product during the day?

Yes, I-Sec can disable a contract or underlying from placing fresh Limit order in FuturePLUS Stop Loss product during the day and may only allow market orders in such Contracts/Underlying.

. . What will happen to the fresh limit orders that I have placed in such disabled contract or underlying?

You will be unable to place new fresh Limit orders in such contract or underlying. However, you can modify the fresh Limit orders already placed to market. Modification of fresh order Limit price will be allowed.

. What would be the brokerage payable on these trades?

The Brokerage for FuturePLUS with Stop Loss Limit Margin orders would be the normal brokerages charged currently on similar lines to that of existing Future orders. You can refer the latest brokerage schedule on our website www.icicidirect.com on the path Tool-tip > Brokerage and Charges> My Brokerage Plans.

. What is Reference Price and Exchange Trade Price Execution Range?

In order to promote orderly trading, Exchange has prescribed Reference price and Execution range for Currency Futures and Options contracts. Orders shall be matched and trades shall take place only if the trade price is within the Trade Execution range based on reference price of the contract.

The reference price for each contract at market open shall be the theoretical price based on the underlying price or base price of the contract in case underlying price is not available at the time of computation, and during trade, it would be the simple average of trade prices of that contract in the last one minute. For contracts that have traded in the last one minute, the reference price shall be revised throughout the day on a rolling basis at one minute intervals. For other contracts, the reference price shall be the theoretical price based on the latest available underlying price and shall be revised throughout the day at regular intervals (thirty minutes).

If any order which is within the operating range but which may result in a trade outside the execution range is entered then such an order (full or partial as the case may be) shall be cancelled by the Exchange

Execution Range for Future Contracts

The execution range for future contracts with Tenure upto 6 months would be 1% around the reference price.

The execution range for future contracts with Tenure greater than 6 months would be 2% around the reference price.

. Will my FuturePLUS SLTP order be impacted due to Reference Price and Exchange Trade Price execution Range?

Yes, since in FuturePLUS SLTP you place two orders simultaneously wherein Fresh order will be Future market order with the second leg Future SLTP order. Any of the above two orders can get canceled from National Stock Exchange of India Ltd (NSE) if they try to match an opposite order whose price is not within the Trade Price execution Range.

. If the Fresh/Cover SLTP order gets canceled by National Stock Exchange of India Ltd (NSE), will I be able to re-enter the Market/Cover SLTP Order?

No. In case your Fresh/Cover SLTP order gets canceled by National Stock Exchange of India Ltd (NSE) due to Trade Price execution Range, you will not be allowed to re-enter either Fresh/Cover SLTP Order. In such cases I-Sec on best effort basis would first cancel pending fresh/cover orders and then initiate the Square off process for the pending Open position.

For Example:

Assume you take a buy position for the fresh order of 1 lot (1 lot = 1000 quantity) at current market price of 70/-. Simultaneously you also place the Sell (cover SLTP order) of 1 lot as Limit price 68.8050/- and SLTP 69.5/-. At the time of Execution of cover order, the execution price say for example 68.85/- is outside the Trade price Execution Range (68.95-70.5). Such order will be canceled by Exchange and you will be exposed to higher risk since there will be no order to cover your Open position. In such case I-Sec on best effort basis would try squaring off your net Open buy position at current market price.

Assume you try taking a buy position for the fresh order of 1 lot (1 lot = 1000 quantity) at current market price of 70/-. Simultaneously you also place the Sell (cover SLTP order) of 1 lot as Limit price 68.8050/- and SLTP 69.5/-. If the fresh order of SLTP product is a market order, execution price of market order depends on the available ask - bid prices and quantity at that point of time in exchange. Hence, in this case, if the execution of market order is going beyond exchange specified trade range, then the fresh order (fully or partially) could be canceled by exchange and you will be exposed to higher risk since reverse position can be created if cover SLTP order gets matched and traded within the Trade price Execution Range. In such case I-Sec on best effort basis would try canceling your pending cover SLTP order or if cover SLTP order is traded then try squaring off your net Open Sell position at current market price.

. Can I "Modify" my cover SLTP order once it gets canceled by National Stock Exchange of India Ltd (NSE)?

No. Once your Fresh/Cover SLTP order gets canceled by National Stock Exchange of India Ltd (NSE) due to Trade Price execution Range, you will not be allowed to "Modify" your cover SLTP order.

. Can my Fresh/Cover SLTP order get part canceled by National Stock Exchange of India Ltd (NSE)?

Yes. Your Fresh/Cover SLTP order can get part canceled by National Stock Exchange of India Ltd (NSE) if part of the ordered quantity tries to match part opposite order whose price is not within the Trade Price execution Range.

Assume you take a buy position for the fresh order of 2 lots (1 lot = 1000 quantity) at current market price of 70/-. Simultaneously you also place the Sell (cover SLTP order) of 2 lots as Limit price 68.8050/- and SLTP 69.50/-. At the time of Execution of cover order, there are two opposite orders finding match of 1 lot each at Rs 68.9025/- and 68.9675/-, respectively. The Trade price Execution Range at that point is Rs 68.9500-69.8075. Such order will be partly canceled (1 lot at Rs 68.9025/-) and partly executed (1 lot at Rs 68.9675/-) by Exchange and you will be exposed to higher risk since there will be no order to cover your part open position. In such case I-Sec on best effort basis would try squaring off your net part open buy position (1 lot) at current market price.

Assume you try taking a buy position for the fresh order of 2 lots (1 lot = 1000 quantity) at current market price of 70/-. Simultaneously you also place the Sell (cover SLTP order) of 2 lots as Limit price 68.8050/- and SLTP 69.50/-. At the time of Execution of fresh order, there are two opposite orders finding match of 1 lot each at Rs 69.5550/- and 69.7525/-. The Trade price Execution Range at that point is Rs 68.7-69.6575. Such order will be partly canceled (1 lot at Rs 69.7525/-) and partly executed (1 lot at Rs 69.5550/-) by Exchange and you will be exposed to higher risk since reverse position will be created if cover SLTP order gets matched and traded within the Trade price Execution Range (68.7-69.6575). In such case I-Sec on best effort basis would try canceling your part cover SLTP order or if cover SLTP order gets traded then try squaring off your net part open Sell position (1 lot) at current market price.

. Can i do anything if any of my Fresh/Cover order gets part canceled by National Stock Exchange of India Ltd (NSE)?

Yes. You can use "Quick Exit" link available against the Fresh order of such paired order(s) under the Order book & also available under Open position page for the position created, if any. Quick Exit will help to close such open paired order(s) or position, if any under a particular contract. To know more about "Quick Exit" please refer below FAQs.

. What is Quick Exit?

Quick Exit is a facility provided to quickly close any particular open FuturePLUS Stop Loss(FPSL) orders / positions under a particular contract.

Example:

Case 1 - In a case where fresh order is part executed and cover order is ordered and you want to book profit by squaring off your position with the help of "Quick Exit" link given on Order Book and Open Position then system will
1. Cancel fresh order for the unexecuted quantity and
2. After confirmation of fresh order cancellation, system will cancel cover SLTP order and place a market square off order for the executed quantity

In such cases this link will help customer to book profits for the part executed open position.

Case 2 - If your Fresh order is executed and SLTP order is in ordered status and if you do Quick Exit a confirmation message will be displayed stating that "Do you want to proceed with Quick Exit" and on clicking "Ok" system will first cancel your SLTP order which was unexecuted and immediately place a square off order against the fresh executed quantity.

Case 3 - If Fresh order is in ordered status and SLTP order is also in ordered status, then on clicking Quick Exit and the process confirmation message will be displayed stating that "Do you want to proceed with Quick Exit" and on clicking "Ok" system will cancel your Fresh and SLTP orders.

. Will Quick Exit link be displayed against all the orders in order book.?

No. Quick Exit link will be displayed only against FuturePLUS Stop Loss(FPSL) fresh order(s) in order book irrespective of the status.

. Will Quick Exit link be displayed against all the positions in FuturePLUS Stop Loss(FPSL) open position page?

Yes. Quick Exit link will be displayed against each open position on FuturePLUS Stop Loss(FPSL) position page under Action column and below "SquareOff at Market" link.

. Is there any difference if I do Quick Exit from Order book or FuturePLUS Stop Loss(FPSL) position page?

No. There is no difference if you do Quick Exit from order book or open position page.

. Will Quick Exit link be displayed in order book for already closed positions?

Yes Quick Exit link will be displayed against all fresh orders irrespective of the status. However there will be no impact if you run Quick Exit for already closed positions.

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h) About Currency Option and trading in Currency Option at ICICI Securities Ltd (I-Sec)

1. What is Options Trading at ICICIdirect.com?

As a customer of ICICIdirect, you can now trade in Currency Options on NSE. It comes with a comprehensive tracking cum risk management solution to give you enhanced leveraging on your trading limits.

You can take buy/sell positions in USDINR currency contracts expiring in different months with various Strike Price. If, during the course of the contract life, the exchange rate moves in your favor (rises in case you have a buy position or falls in case you have a sell position), you make a profit. In case the exchange rate movement is adverse, you incur a loss. To take the buy positions on index/stock options you have to pay certain premium. To take the sell position in currency options, you have to place certain % of order value as margin. With options trading, you can leverage on your trading limit by taking buy/sell positions much more than what you could have taken in cash segment. However, the risk profile of your transactions goes up.

2. What is a Call?

Call is the Right but not the obligation to purchase the underlying Asset at the specified strike price by paying a premium.

The Buyer of a Call has the Right but not the Obligation to Purchase the Underlying Asset at the specified strike price by paying a premium whereas the Seller of the Call has the obligation of selling the Underlying Asset at the specified Strike price.

3. What is a Put?

Put is the Right but not the obligation to sell the underlying Asset at the specified strike price by paying a premium.

The Buyer of a Put has the Right but not the Obligation to Sell the Underlying Asset at the specified strike price by paying a premium whereas the Seller of the Put has the obligation of buying the Underlying Asset at the specified Strike price.

4. What is a strike Price?

It is the Price at which the underlying asset is agreed to be bought or sold.

5. What is a premium?

Premium is the down-payment which the Buyer of Call Option or Put Option is required to make for entering the options agreement.

6. What is a European option?

These options give the holder the right, but not the obligation, to buy or sell the underlying instrument only on the expiry date. This means that the option cannot be exercised early. Settlement is based on a particular strike price at expiration. Currently, in India Currency Options is European in nature.

7. What is an American Option?

These options give the holder the right, but not the obligation, to buy or sell the underlying instrument on or before the expiry date. This means that the option can be exercised early.

8. On which exchanges will I be able to buy and sell in Options market?

Currently, ICICIdirect offers Currency Derivative Options trading facility on the National Stock Exchange of India Ltd. (NSE).

9. How is Options trading different from Futures trading?

In case of Futures the Buyer has an unlimited loss or profit potential whereas the buyer of an Option has unlimited profit and limited downside. Similarly, the Seller of a Futures has an unlimited loss or profit potential whereas the seller of an option has a limited profit but unlimited downside.

10. How is Options Contract Defined?

USDINR Call Option contract expiring on 26 Aug 2014 with strike price of 60 is described as OPT-USDINR-26-Aug-2014-60-CE

Similarly, USDINR Put Option contract expiring on 26 Aug 2014 with strike price of 60 is described as OPT-USDINR-26-Aug-2014-60-PE

OPT denotes Option, USDINR is the underlying, 26 Aug 2014 is the expiry date of the contract, 60 is the strike price, CE denotes it is a European Call option and PE denotes it is a European Put option

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i) Withheld Profit

1. What is 'Withheld Profit' amount and when will this amount be released in my limits for further use?

As per the regulatory requirement, Futures & Options profits that are booked but unsettled (i.e. payout/credit of funds is yet to be received), cannot be used to take further exposure as margin till the time they are settled by regulators. Accordingly, such cumulative net profit amount after adjusting the losses for that day across all products is withheld from your current limits. In case there is a cumulative net loss for the day post adjustments of all unsettled profits and losses then there will not be any amount withheld from limits till you make cumulative net profits which are unsettled. You can use this withheld amount for taking further exposure once the 'Withheld Profit' amount is released/added to your current limits which is done after the EOD processing when the next trade date is greater than or equal to the funds payout date.

2. What is the significance of this 'Withheld Profit' amount in trading?

You will not be allowed to use the 'Withheld Profit' amount as limits for taking further exposure*, till this amount is settled.

*Further exposure would mean any new orders/positions or any actions requiring add margin against your existing open positions across all products under Futures and options. In case if you exit your long/buy option positions or enter new write/short options, the proceeds or credit of option premium will be withheld and will be added to 'Withheld Profits' and will be allowed only for Option Buy Position within same segment.

3. Where can I see this 'Withheld Profit' amount?

You can go to the website www.icicidirect.com and visit the 'Limits' page under 'Currency' section to view the field 'Withheld Profits' to know if any unsettled cumulative net profit amount is withheld.

4. When will the withheld profit amount be settled/released/added in my limits? What all amounts would be used to calculate cumulative net profits or losses?

If there is a cumulative net profit amount which is unsettled then such amount will be withheld and will be released/added in your limits once the profits are settled or when the next trade date is greater than or equal to the pay out date for the profit amount, whichever is earlier. All during the day or end of day profits or losses across all products in Currency including premiums receivable or payable for Option product will be adjusted to arrive at the cumulative net profit/loss amount.

5. Whether profit/ loss of all Future and Options products will be impacted?

Yes, profit/ loss across all Futures and Options products will be impacted and considered while arriving at the withheld profit amount which is unsettled.

6. How will the withheld amount be calculated during the day and end of the day?

During the day: All profit amount along with the premium amount receivable shall be added and all losses along with the premium amount payable shall be deducted to arrive at the withheld profit amount.
End of the day: On similar lines of during the day adjustments mentioned above, end of day profits in case of Future & options like EOD MTM profits, exercise profit etc. which are yet to settled with actual pay-out will be considered for arriving the withheld amount post adjustment of end of day losses like EOD MTM, close out, assignment etc.

7. What if I have profit in the first trade and I want to place another order, can I use that profit to place another order during the day?

No, if you have profit during the day which are unsettled and pay-out is not received from clearing house then you cannot use that profit for placing the second order. You can place another order after bringing in sufficient limits under Currency.

8. Can I use withheld or unsettled profits to add the margin requirement for my positions during the day?

No, you cannot use the unsettled withheld profit amount if there is any margin requirement on your existing positions during the day. You will need to allocate sufficient funds/limits under Currency for this purpose.

9. What is 'Net Premium Receivable'?

The field Net Premium Receivable is on the Currency Limits page and it is the difference between the realized Option Sell Premium value and realized Option Buy Premium values for the trade date which is maintained on real time basis. Net Option premium receivable can be used for taking only Buy position in Options on the same trade date. It cannot be used for taking Buy and Sell positions in Futures and Sell position in Option
Formula: Net Premium Receivable = Option Sell Premium receivable - Option Buy Premium payable for the trade date (realized amounts only i.e. post execution)
Example:
Initially Customer's existing current limit and Revised current limit is 0, this indicates that customers do not have any limit to take any positions in Currency.
Case 1: In first case, Customer squares off his Futures positions and receives a profit of Rs.10000, and margin of Rs 250000 is released in Customer’s current limit and also in new limit column
i.e., Current Limit = Rs. 250000; ‘Revised Current Limit’=Rs. 250000 and withheld column=Rs.10000; Net Premium Receivable=Rs.0

Case 2: Customer places fresh sell order in Options and received premium of Rs. 20000. And margin of Rs. 250000 is deducted from Current limit column as well as Revised limit column.
Now changes will be as follows:
i.e., Current Limit = Rs. 0; ‘Revised Current Limit’=Rs. 20000 and
withheld column = Rs.30000 (20000+10000); Net Premium Receivable=Rs.20000.

Case 3: Customer buys fresh Options where he pays premium amount Rs.15000 and the withheld profit including net premium is deducted from Revised Current Limit For Option Buy column. The effect of net premium receivable for the day Rs.5000 is added in 'Revised current limit' column and in new column named, 'Net premium receivable 'column after required adjustment.
i.e., Current Limit = Rs. 0; ‘Revised Current Limit’=Rs. 5000 and
withheld column = Rs.15000 (30000-15000); Net Premium Receivable=Rs.5000.

At EOD, net premium receivable amount will be released in current limit as per the existing logic of withheld limits for next trade date. Post this release, current limit and revised current limit for Option Buy will become same.

10. Can I use the premium receivable from the Option trades which are unsettled and withheld to place another order under Currency?

In case the Net Premium Receivable during the day results in net proceeds or credit of option premium after the above mentioned adjustments then this amount will be withheld and will be allowed only for Option Buy Position.

11. What is 'Revised Current Limit For Option Buy'?

The field 'Revised current limit for Option Buy' is on the Currency Limits page and it is similar to the existing 'Current Limit' but only net premium receivable is added to the existing Current Limits. It can only be used for taking Buy position in Options for any underlying on the same trade date. It cannot be used for taking any kind of marginable position (in Futures, FuturePLUS Stoploss and Option Sell).
Formula: Revised current limit (for options buy only) = Total Allocation (Bank Allocation + Securities + BFT + I-Sec Margin) +– Total settlement Amount (Including margins, profit/ loss, premium amounts and TDS or any other settlement balances as existing) – Isec Withheld Amount + Max (Net Premium Receivable ,0)

12. Will there be any amount withheld if there is a cumulative net loss?

No, there will be no amount withheld in case there is a cumulative net loss after all the adjustments mentioned above.

13. When will the 'Withheld Profits' get released in limits?

Any 'Withheld Profits' on T day will be released after EOD processing, in case the next trade date and settlement/payout date is same and in case there is a holiday then the 'Withheld Profit' will be released in your limits when the next trade date is equal to or greater than the Settlement/ Pay out date.

14. What happens if the cumulative net amount at any point is Negative or Zero?

If the cumulative net amount arrived at any point in time is Negative or zero, then in that case there will be no 'Withheld Profits' amount in your limits.

15. Will I be able to use the value in the 'Withheld Profits' column for taking positions on next trade date?

Yes, the 'Withheld Profits' amounts will be added to your current limits on next trading day if the pay-out date is equal to or less than the next trade date.

j) Currency Debit Peak Margin

1. Why am I not able to de-allocate from Currency cash allocation and I am getting an error pop up as 'Debit Peak Margin Now'?

As per the regulatory requirement, Peak Margin amount during the market hours is required to be collected from all the clients. In cases where peak margin amount is blocked from your bank account in currency cash allocation, the same cannot be de-allocated until the peak margin amount is debited for the day. Once the peak margin amount is debited only then surplus funds, if any, can be de-allocated by you. In order to avoid the error of de-allocation, you can also debit peak margin amount or release the surplus funds, if any, by using ‘Debit Peak Margin Now‘ option on ‘I-Sec & Peak Margin Details’ page under ‘Currency’ section or you can get redirected to this page by clicking ‘Debit Peak Margin Now ’ option in the pop up message if displayed while deallocating funds. In case you have not debited the peak margin amount then the same will be debited at the End of Day (EOD) process by I-Sec on best effort basis and surplus amount, if any, blocked under Currency Cash allocation will be released. Also, in case you have squared off your position(s) intraday where peak margin is not required to be carried forward then peak margin amount debited will be released in the EOD process by I-Sec..

2. Why is my Peak Margin amount higher than value of Executed Order(s)/Open Position(s)?

Your maximum limit utilized for the Trade Date is considered as Peak Margin amount. Peak Margin Amount once calculated doesn’t get reduced for the Trade Date (including cases of Limits released by order status change). E.g. Once you place the order, the limit gets utilized and considered in calculation of Peak Margin. Then even if this order gets cancelled/rejected/position is squared off and limits are released but Peak Margin Amount won’t get reduced for that Trade Date.

3. Why are there additional entries in my statement/Ledger/Bank Account?
In Case Peak Margin is debited by you during market hours

In case you are debiting the peak margin by using “Debit Peak Margin Now” option in “I-Sec & Peak Margin Details” tab in Currency section, the peak margin amount will be instantly debited and credited.

4. In case Peak Margin is debited by I-Sec at End of Day Processes.

Irrespective whether you have debited Peak Margin during market hours, the same will be debited by the I-Sec at EOD. Peak Margin amount will be debited in I-Sec Peak Margin Debit process and the subsequent process will credit/debit back the extra margin amount, if any, in comparison to actual peak margin to be debited for you. Depending upon the nature of transactions carried out there will be corresponding entries of peak margin debit and credit. However, original single Pay-in / Pay-Out entries will continue to appear as per existing practices for obligation settlement.

5. Why is my Peak Margin amount showing positive value instead of zero even though there are zero trades placed during the day?

In case you have carried forward open marginable position from previous trade date then the peak margin column will display the total margin amount utilized to maintain those positions even though there are no trades placed on trade date. However, the actual peak margin for that trade date will be displayed in “Peak Margin to be debited” column which will be updated only when any fresh trade occurs for the day.

k) Settlement Obligation in Currency Options

1. What kind of settlement obligation will I have in Options?

Brokerage: Any Transaction you enter into will attract brokerage. Brokerage is debited to your account at the end of the day.
Premium payable or Receivable
Profit on Exercise
Loss on assignment

2. When will the obligation amount be debited or credited in my Bank Account?

Assuming you place a transaction on day T, Options obligation will be settled as per the following table.

Condition Obligation Settlement

Option Premium Receivable T+1

Option Premium Payable T

Exercise Profit T+1

Assignment Loss T

Brokerage T

3. What happens if I have a margin / premium obligation towards the Exchange and have open position under Options Buy Call and/or Put?

In case client does not have sufficient free limit available in such cases system may even square off Options Buy positions to recover the required margin / premium obligation amount towards Exchange.

4. Where can I see my settlement obligation?

You can see your obligation on cash projection page. The date on which the amount is to be deducted or deposited in your account can be checked from the "Cash projection" page. You can even see the historical obligation (already settled) by giving the respective transaction date.

5. On T+1 day I have a payin for a particular trade date and also payout for a different trade date? Will payin and payout be run separately?

No, if payin or payout falls on the same date, the amount is internally set off and only the net result payin or payout will be debited or credited to your bank account.

In cash projection, distinct particulars would be given for payin/payout internally settled and settled by way of debit/credit in bank.

6. Can I square off the open positions in the disabled underlying?

Yes, you can square off the open positions in the disabled underlying through square off link available on open position page.

7. I have placed the square off order. Can I modify that order?

Yes. You can modify square off order if not executed.

8. What is meant by a freeze order? What should I do in case an order is Freezed?

Orders in Options may get freezed at the exchange end. There is only quantity freeze (no price freeze) in case of options. In case of Currency Options the quantity should not be beyond 10,001.

9. Where can I see that my order is freezed?

The orders in currency options that get freezed appear with a "Freezed" status in the order book and the details of freeze can be seen in the order log by clicking on the order reference hyperlink.

10. What should I do in case an order is Freezed?

If your order gets freezed, you can call up the call centre number and provide the required details about the order. ICICI Securities will inform the exchange about the details of your freezed order. Exchange may at its discretion release or reject the request for releasing Freezed orders. Till the order is unfrozen, the limits are blocked to the extent of order which got frozen.

11. Is there any hedging benefit between options?

No. Currently ICICIdirect is not offering any hedging/spread benefit within Options. Thereby customers are advised to monitor all the options positions as independent positions and allocate margin for all individual open Option positions (if additional margin is required).

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l) Specific FAQs on BSE

1. Can I now trade in Currency Futures and Options on BSE?

Yes you can now trade in Currency Futures and Options on BSE. Only contracts that meet the liquidity criteria will be enabled for trading at the discretion of I-Sec.

2. Can NRIs trade on Currency BSE Derivatives?

No.This facility is not enabled for NRIs.

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m) Specific FAQ on Exchange specified Clientwise limit

1. What is the maximum exchange specified Clientwise limit allowed in Currency segment?

Exchange has specified client level position limit for each underlying/Index. In case client has breached the exchange specified clientwise position limit then exchange will charge penalty or may take any other action. Hence, if client breaches the exchange specified clientwise position limit, then I-Sec will square off the excess position on best effort basis even if the client has sufficient margin on excess position. Kindly note that the primary responsibly will remain with the client only to not exceed the exchange specified client level position limit.

Kindly note that in case exchange charges any penalty in this regard, then the said penalty amount will be passed/recovered from the client.

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n) Charges

1. I am a registered customer of I-Sec holding a 3-in-1 account. Do I have to pay any charges for registering myself for Currency trading?

No.

Customers who do not have an existing 3-in-1 account will have to open a 3-in-1 account containing the currency derivatives documentation. Normal 3-in-1 account opening fees would apply for such applicants.

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o) Contact Us

Call our 12-hour Customer Care Number

you can also write to us directly at helpdesk@icicidirect.com

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p) Shares As Margin

m) Shares as Margin

. Shares as Margin - SAM in currency segment

. What forms of Margin are acceptable for taking currency positions?

For currency positions, margin can be given in the following forms:

a) Cash (by way of allocation of funds from your bank account)

b) Specified securities (by way of pledging securities allocated from your demat account in favor of I-Sec)

The limit granted is a sum of (a) & (b) and the margin is blocked on the individual positions on the overall basis and not in any proportion of (a) & (b).

Though securities limit is granted for exposure to currency positions, actual payment is required for settlement dues arising from mark-to-market losses on futures positions, premium payments for options bought, square off losses on futures, options positons and brokerage applicable on the transactions.

.When should cash be made available for settlement dues?

All futures obligations are settled by exchange on T+1 basis but the scheduled date of debit from your bank account is day T itself accordingly the cash needs to be made available for meeting any settlement dues

.What happens if cash is not made available for any settlement dues?

Pay-in is normally made from your allocation to currency segment from your bank account. In case this allocation is insufficient, ICICI Securities reserves the right to debit even unallocated clear funds available in the bank account.

In case the allocation for Currency from your bank account is not sufficient to meet the pay-in obligations, ICICI Securities can sell appropriate quantity of securities pledged as margin. The proceeds of the securities sold will then be utilized to meet the pay-in obligations. After the sale of shares the funds will first be used to settle F&O obligations followed by Equity and then Currency followed by Commodity.

.How do I deposit Securities as Margin?

Click on the 'Pledge & Create Limit' link on the 'Shares as Margin' Page available under the currency section, you will find all your securities available in your demat which are free to be pledged there. You can specify the quantity you wish to pledge and place a pledge request. After placing the pledge request, you will receive a link from the depository on your registered mobile number and email id, you can confirm and authenticate your pledge request through the OTP provided to avail your SAM limit.

.On depositing securities as margin, when do limits become available there against?

Limits become available against the shares deposited as margin after your pledge request has been successfully confirmed. You will be able to Move free securities limit directly from one segment to another i.e., any combination in Equity, F&O, Currency & Commodity from the 'Allocate Limit' link under the 'Shares As Margin' page.

.After depositing securities as margin, by how much do limits increase? Where can I view all securities deposited as margin?

On depositing securities, currency limits increase after your pledge request has been successfully confirmed by the 'Limit to be created' indicated on the 'Pledge & Create Limit' page. This is arrived at for each security as per the following formula:

(Quantity of the stock deposited * Valuation Price of the stock ) * (1 - Haircut% for the stock)

The valuation price and haircut% are specified by ICICI Securities. Generally, the previous day closing price is specified as the valuation price. The haircut% for all eligible stocks can be seen in the 'Stock List' page in the (Equity ,F & O ,Currency & Commodity) section. The valuation price and the haircut% for all stocks available for deposit can also be seen in the ''Pledge & Create Limit' page.

The details of how limit is arising from individual securities deposited can be seen in the F&O, Equity, Currency and commodity deposited Securities page.

.What does "Pledge & Allocate to Currency on the 'Pledge & Create Limit' page mean?

If you click on Pledge & Allocate to Currency while placing pledge request, the limits will be allocated to Currency Segment after the pledge request is confirmed.

.The limit arising out of securities deposited as margin changes every day and sometimes during the day also. Why?

This is because it is dependent on the valuation of the securities deposited as margin. The Currency limits arising out of securities deposited as margin is arrived at as the summation of :

(Quantity of the stock deposited * Valuation Price of the stock ) * (1 - Haircut% for the stock)

Generally, the previous day closing price of a stock is specified as the valuation price. Hence, the limit arising out of securities deposited as margin is recalculated every day as per previous day closing price of the securities. Limit may also change on account of changes in haircut% effected by ICICI Securities. In some cases, the above changes may be carried out during trading hours also. These may lead to either an increase or a decrease in the limit arising from securities deposited as margin. ICICI Securities also reserves the right to withdraw the limit arising from any one or more of securities deposited as margin without assigning any reason.

Where the limit arising from securities deposited as margin reduces on account of the above, the margin available against the Currency positions/orders is reduced from any one or more positions/orders at the discretion of ICICI Securities. This may result in some positions having less than the minimum margins in case of futures positions leading to square off of the futures positions/cancellation of the orders. The trigger price for squaring off the option positions is also recalculated leader to earlier squaring off of option positions/cancellation of option orders.

Therefore, where you have taken Currency positions on the basis of limits arising from securities deposited as margin, you are advised to track the prices of such securities closely and ensure that sufficient margin is always made available for the positions/orders.

.What happens to the securities pledged as margin?

When you create a pledge on securities in favor of I-Sec, a separate request is created to pledge each security. The status of these requests can be tracked in the 'Status Book' sub-link under the 'Shares as Margin' link in the F&O and Equity, commodity and currency section. Till such time that the pledge creation is actually initiated by ICICI Securities on your behalf (i.e. the status changes from 'Requested' to 'In Process' status), the requested quantity appears as 'Pledge Requested Quantity' in the 'Demat Allocation' page in the Currency section.

In case you make a further deposit of the same security before the pledge request is initiated on your behalf (i.e. is in 'Requested' status), only the pledge request quantity is increased instead of creating a new pledge request.

You can view the pledge order no. allotted by the Depository for each pledge creation here in the Status Book.

.How do I revoke securities pledged as Margin?

A link for 'Unpledged' appears against the 'Quantity Pledged' in the 'Pledged Securities' link under The 'Shares as Margin' page. You can click on the link and specify the quantity to be withdrawn. In case, in the 'Status Book' sub-link under the 'Shares as Margin' link in the Currency section, there is already a 'Withdrawal' request pending to be initiated (i.e. in 'Requested' status), you will not be permitted to place a fresh withdrawal request; you can only increase the quantity to be withdrawn

In either case, note that Withdrawal is:

(i).permissible only if the reduction in Securities limit arising out of reduction in the quantity deposited as margin is not beyond the current Currency limit
(ii).permitted only to the extent of quantity deposited has not already been sold either by ICICI Securities or by yourself (appearing as 'Block for Sale' in the 'Deposited Securities' page in the Currency section)

.After revocation of pledge, by how much do limits decrease?

On revocation of securities deposited as margin, Currency limit decreases immediately after successful withdrawal, by the

(Quantity of the stock being withdrawn* Valuation Price of the stock ) * (1 - Haircut% for the stock)

.What happens to the securities on revocation of pledge?

A separate request is created to initiate the revocation of the pledge(s). The status of this request can be tracked in the 'Status Book' sub-link under the 'Shares as Margin 'link in the Currency section. However, the quantity revoked is immediately reduced from 'Quantity' in the 'Pledged Securities' page in the Currency section. As a result, the securities limit also reduces.

Multiple pledge revocation may have to be initiated in case separate pledge order nos. by the Depository as a result of pledges being created at various points of time earlier. Once revocation is initiated (i.e. the status changes from 'Requested' to 'In Process' status), the same appear(s) in the 'Status Book' sub-link under the 'Shares as Margin' page in the Currency section. Here, you can view the final status of the pledge closure(s) initiated. Once, the pledge closure(s) are completed, the quantity closed will reflect as free balance in your demat account. The withdrawn securities will be available for sale or transfer on the next day of the withdrawal.

.How does ICICI Securities go about selling my pledged securities in case I do not make cash available for any settlement dues?

ICICI Securities would invoke a pledge and place a 'Spot sell' order at 'market' for the required quantity of securities deposited as margin.

The sale proceeds of this sale will be utilized to meet the pay-in shortfall. Any excess realization will also be allocated for Currency subject to the provisions of circulars, rules, regulations, Acts, FAQs etc. as laid down by exchanges/ SEBI/ depository from time to time. However, you can reduce the same if required. Normal 'spot' brokerage is applicable for such sales. Such orders can be viewed in the Currency Order book (they will be identified as). The quantity so sold will appear as 'Block for Sale' in the 'Pledged Securities' page in the Currency section.

ICICI Securities would invoke the securities pledged in favor of ICICI Securities to debit the shares from your demat account and meet the obligations to pay-in the securities. On invocation, the 'Quantity' in the 'Pledged Securities' page will reduce. Details of such invocations would appear in the 'Status Book' sub-link under the 'Shares as Margin' link in the Currency section.

However, ICICI Securities may not resort to selling the deposited shares at its discretion including for reasons that the pay-in shortfall is insignificant.

.For a given shortfall which is less than potential sale proceeds of the entire securities deposited as margin, how does ICICI Securities determine which of the deposited securities to sell and how much?

To minimize the no. of sell orders, orders are first placed in respect of stocks which have the highest value (arising from greater quantity or greater prices). If the sale proceeds of the highest value stock does not appear to be sufficient to meet the pay-in obligations, the next highest value stock is taken up for sale.

For determining the quantity to be sold, the securities deposited as margin are valued at current market price.

For determining the quantity to be sold, the target amount to be realized is assumed to be higher by a sale margin to allow for possible price losses till the order reaches the market. The sale margin is standard for all the scrips enabled for 'Shares as Margin'

The quantity determined is rounded off to the nearest higher integer

For example,

Sale margin is specified as 2%
Client has a shortfall of pay-in Rs 3,00,000/-

Value of shares to be invoked will be 3, 06,000/-.

You have pledged the following shares :

Scrip	Qty	Current market price	Value
ACC	1000	75	75000
BHEL	2000	150	300000
CASTROL	500	100	50000

In the above case, the following shares would be selected for invocation

Scrip	Qty	Current market price	Value
BHEL	2000	150	300000
ACC	80	75	6000
		Total	306000

.Can I also sell securities pledged as margin for eg. In case prices of the securities are going up?

Yes, you can.

'A link for 'Spot Sell' appears against the 'Quantity' In the 'Pledged Securities' link under 'Shares As Margin' page. You can click on the link and then place a spot sell order. These orders can also be limit orders. In this case, the sale proceeds will be allocated automatically for Currency (you can reduce the same if required). Because of this, no reduction in securities limit occurs on placing the order. The quantity ordered to be sold will appear as 'Block for Sale'.

Of course, the sale is permitted only to the extent of quantity pledged that has not already been sold either by ICICI Securities or by yourself (appearing as 'Block for Sale' in the 'Pledged Securities ' page in the Currency section). However, if there is pending ''Revocation of pledge' request out of the 'pledged quantity', the quantity in that request is not permitted to be sold.

Spot brokerage is applicable on these sales. Such orders can be viewed in the Equity Order book (they will be identified as ) and modified/cancelled like other Equity orders.

ICICI Securities would invoke the securities pledged in favor of ICICI Securities to debit the shares from your demat account and meet the obligations to pay-in the securities. On invocation, the 'Quantity' in the 'Pledged Securities ' page will reduce. Details of such invocations would appear in the 'Pledge Book' sub-link under the 'Shares as Margin' link in the Currency section.

.Are there any separate charges for the above transactions?

Yes, below pledge charges will be charged in accordance with depositories NSDL and CDSL. These charges are applicable on a per-ISIN basis in each instruction.

Type of Instruction Pledging Charges in Rs. (Per ISIN in an instruction)

Shares as Margin : Margin Pledge Initiation/Closure/Invocation 20

.Can I place revocation and invocation of pledge requests simultaneously for the same scrip on the same date?

Yes, provided the status of first request (which can be either revocation or Invocation) is not shown as 'Requested/In process' in the Status Book.

First request	Status of request	Second request	Remarks
Withdrawal	Requested/ In process	Invocation	System will not allow to place second request
Invocation	Requested/ In process	Withdrawal	System will not allow to place second request

.Can I place multiple revocation of pledge requests against the same scrip on same date?

Yes, you can place further revocation of pledge requests if the earlier request(s)do not show the status as �In Process". The system will not allow you to place further revocation of pledge request(s) till the processing is completed.

First request	Status of request	Second request	Remarks
Withdrawal	In process	Withdrawal	System will not allow to place second request
Withdrawal	Requested/Completed/Rejected	Withdrawal	System will not allow to place second request

.How the delivery towards sell of SAM (Shares as Margin) Funded shares will be effected?

In case you sell the shares which are provided as Margin, ICICI Securities (I-Sec) shall invoke the pledge on such shares for meeting delivery obligation on sell transaction. This process will be followed irrespective of the fact whether the shares are being sold either by you /dealer or by risk trigger processed by I-Sec.

.How is CommCurrencyodity free limits calculated?

Currency free limits = Allocation + BFT + ISEC Margin + Securities Allocation +/- Settlement obligation amount - Withheld profit amount-Blocked Margins on positions or overnight order placement.

.Can I move my Securities (Allocation) from Currency to other segments?

Yes, you can move your Securities (Allocation) from Currency to other segments i.e. Equity, F&O or currency using ‘Move to’ functionality on Free limits page after selecting the segment and entering amount provided it is not being used as margin against open positions or against pending settlement dues in the segment.

.There is no option of Net Withdrawal Balance (NWB), where can I keep my excess Securities Allocation?

Since, the Net Withdrawal Balance (NWB) functionality has been discontinued, you can keep your excess Securities Allocation in any segment using ‘Move to” functionality on Free limits page.

. I have sufficient Free limits balance in ‘Currency’ segment but I am unable to move to other segment from Currency Securities Allocation. Getting error as ‘Cannot de-allocate. Insufficient limits:’

The balance shown under Free limits is combined balance of Bank allocation and Securities Allocation. So, you can move only up to the Securities Allocation done by you in Currency segment from Securities balance in Currency free limits