F & O : FAQs

FAQ ( FUTURES )     FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)     FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)     FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)    FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)      FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX          FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What is Futures Trading at ICICIDirect.com?

As a customer of ICICIdirect now, you can trade on index and stock futures on NSE and index futures on BSE. It comes with a comprehensive tracking cum risk management solution to give you enhanced leveraging on your trading limits.

In futures trading, you take buy/sell positions in index or stock(s) or global indice(s) contracts expiring in different months. If, during the course of the contract life, the price 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 price movement is adverse, you incur a loss.

To take the buy/sell position on index/stock futures, you need to have certain amount as margin to place order(s). With futures 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.

. On which exchanges will I be able to buy and sell in futures market?
ICICIdirect offers its customers execution capability on both the exchanges i.e., National Stock Exchange of India Ltd. (NSE) and BSE Limited (BSE).

. How is futures trading different from margin trading?

While buy/sell transactions in margin segment have to be squared off on the same day, buy/sell position in the futures segment can be continued till the expiry of the respective contract and squared off any time during the contract life.

Margin positions can even be converted to delivery if you have the requisite trading limits in case of buy positions and required number of shares in your Demat in case of sell position. There is no such facility available in case of futures position, since all futures transactions are cash settled as per the current regulations. If you wish to convert your future positions into delivery position, you will have to first square off your transaction in future market and then take cash position in cash market.

Another important difference is the availability of index and global indices contracts in futures trading. You can even buy/sell NIFTY in case of futures in NSE, whereas in case of margin, you can take positions only in stocks.


. Which stocks are eligible for futures trading? Why is the stock list restricted to specific scrips only?

At present, we have enabled selected stocks for trading in the futures segment on NSE exchange. Only those stocks, which meet the criteria on liquidity and volume have been considered for futures trading. As of now, we have not enabled any stocks for trading under BSE exchange


. Which contracts under an underlying are enabled for Future trading? Why is the contract list restricted to specific contracts only under various underlyings?

ICICIdirect enables selected contracts under various underlyings for trading in the Futures segment. Only those contracts, which meet the criteria on liquidity and volume are considered for Futures trading. This is required as there may be a risk of lower liquidity in some contracts as compared to active contracts. As a result, your order may only be partially executed, or may be executed with relatively greater price difference or may not be executed at all. Thereby to safeguard your interest such illiquid contracts are disabled for trading on www.icicidirect.com. The list of contracts is subject to modification by ICICIdirect from time to time.


. Can an enabled contract be disabled later ?

Yes, it is possible that ICICIdirect disables a contract that was enabled earlier. This could happen due to various reasons like the underlying is disabled as it reaches market wide open position limits, the contract has become illiquid or any other reason to safeguard the interest of investors.


. Can I square off my position once the contract is disabled?

Yes, you can square off your open positions using the square off link on the Open Positions page when the contract is disabled for trading.


. Can I modify my square off order placed in disabled contracts or Banned underlyings?

Yes. You may visit the online order book to modify details of your pending square off order under a disabled contract or banned underlying. Please note you will be able to modify the quantity downwards and upwards only upto the net open position considering the square off orders already placed for such position. Example

1) You have a position of 16000 quantity in IFCI which is under banned period and you have two pending square off orders of 8000 each. In this case you will be able to modify all the eligible details for the square off order placed provided quantity for the modified square off order does not exceed 16000 including already placed square off orders against this position. This would mean that quantity cannot be modified upward for either of the pending square off order until the other pending square off order is cancelled.

2) You have a position of 16000 quantity in IFCI which is under banned period and you have one pending square off order of 8000 quantity. You can modify all eligible details of this pending square off order and the quantity can be modified upwards only upto 16000 i.e. to the extent of net position quantity.



. Where can I view futures contracts?

Only enabled contracts will be displayed for trading on the site when you select contracts either through the 'Place order' link or the Stock list page under ‘Services’ tab on www.icicidirect.com for both NSE and BSE exchange.


. How is the futures contract defined?

ACC future contract expiring on 27th Feb, 2002 is defined as "Fut-ACC-27-Feb-2002". Wherein "Fut" stands for Futures as derivatives product, "ACC" for underlying stock and "27-Feb-2002" for expiry date.

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

An index or stock or global indices enabled for trading on futures is called an "Underlying" e.g. NIFTY (index) and ACC (stock) and DJIA (global indice). There may be various tradable contract for the same underlying based on its different expiration period. For example Fut - ACC - 27 Feb 2002, Fut - ACC - 27 Mar 2002 and Fut - ACC - 27 Apr 2002 are "contracts" available for trading in futures having the scrip, ACC as "underlying".


. How do I place a futures buy/sell order?

a. Click on Place Order link under F&O tab on website

b. Click on ‘Futures’ tab for placing order in futures product, select the exchange on which you want to place order,

c. Enter the Stock Code and select contract in which you want to place order, further opt for Buy or Sell

d. Quantity as per lot size would be auto populated

e. Lastly, you need to define the order type as ‘Limit’ or ‘Market’ and click on Place order button.


. Can I short sell the shares in futures segment (i.e. sell shares which I do not hold in Demat)?

Yes, you can short sell the shares in futures segment. There is no block on your holdings in the demat account.


. How much margin would be blocked on placing the futures order?

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 F&O trading page. The blocked margin also includes the notional loss, if any, on the existing positions under a portfolio for an underlying.


. Is the margin requirement uniform for all stocks?

It may not be so. Margin amount required may differ from stock to stock based on the risk involved in the stock and your portfolio that exists for the stock, which depends upon the liquidity and volatility and price change of the respective stock besides the general market conditions. For e.g .if there are offsetting positions in your portfolio then you may get reduced margin benefit 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. Normally index futures would attract less margin than the stock futures due to comparatively less volatile in nature. But all contracts within the same underlying would attract similar margin amount requirements.

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

A consolidated margin amount 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.

. 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 Extreme loss margin . Extreme Loss 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 intra day 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 extreme loss 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 intra day mark to market process. The extreme loss margin for short options is calculated on the maximum of underlying spot prices and previous day close at the time of order/trade execution and the Current spot price existing for open positions at the time of running intra day mark to market process.


. 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.

. Can margin be changed during the life of contract?

Yes, margin amount 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. 25000 margin is taken for the same. But later on due to the increased volatility in the prices, the margin is increased to Rs. 30000. 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.

. Is margin calculated and displayed for each contract ?

No. Margins are calculated taking the entire orders/positions i.e. all 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 F&O trading section of www.icicidirect.com


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

Squaring off a position means closing out a futures position. For example, if you have futures buy position of 500 Reliance expiring on 27th Feb 2002, squaring off this position would mean taking sell position in 500 Reliance expiring on 27th Feb 2002 on or prior to 27th Feb 2002. The order placed for squaring off an open position is called a cover order.


. Is margin blocked on all future orders?

No. Margin is blocked only on future orders, which results into increased risk exposure. For calculating the margin at order level, you can use the Margin Calculator link by specifying the existing positions (including Futures and Options open positions, if any) and order which you intend to place for a particular underlying. You will need to add open positions notional loss , if any, to arrive at the total margin requirement.

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

Initial Margin means the amount of margin (either in the form of cash or eligible securities) required by ICICI Securities to be deposited with it by you before undertaking Transactions in Futures and Options for an underlying portfolio and also on a continuing basis thereafter on open positions which shall include SPAN Margin plus extreme loss 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 F&O 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 F&O trading page by entering your positions or expected positions.


.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.

. What is meant by calendar spread?

Calendar spread means risk off-setting positions in contracts expiring on different dates in the same underlying.

. 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.

. 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.

. 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 excluding penalty on upfront margin by stock brokers. Accordingly, if you fail to allocate sufficient funds or margin pledge securities towards your margin obligations on positions, the penalty amount excluding penalty on upfront margin 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.

. 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 example, You have two positions in RELIND namely; Long RELIND Futures 29-Mar-2012 and Long RELIND Put 840 dated 29-Mar-2012 this would be considered hedged by ICICI Securities and the reduced margin on combined position would be Rs.9000/- whereas if you had Long RELIND Futures 29-Mar-2012 and Long RELIND Call 840 29-Mar-2012 this would be considered as non hedged and margin on individual Long RELIND Futures 29-Mar-2012 would be Rs.25000/- and premium would be required on placing Long RELIND Call 840 29-Mar-2012.

. Will hedging strategy work between NSE and BSE?

No, hedge benefit will only be given at underlying level on the same exchange. For ex. If you are taking future and options positions of same underlying on NSE or BSE exchange then only you will hedge benefit.

For example,

Sr No Positions Exchange Remarks
1 1 NSE Hedge Benefit
will be given
2 2 NSE
3 1 NSE Hedge Benefit
will not be given
4 2 BSE
5 1 BSE Hedge Benefit
will be given
6 2 BSE

. Is margin benefit on hedged positions available across underlyings or between stock and index positions?

No. I-Sec allows margin benefit on hedged positions only within the same underlying and no benefit is provided across underlyings or between one stock and other index positions.

. 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 eg. You can take hedged position of Long NIFTY Put 29-Mar-2012 and Long NIFTY Future 26-Apr-2012.

. What will happen to my hedged positions 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.

.Will there be any impact on the limits in case of both NSE and BSE facility?

Please note, limits will be common for both NSE and BSE at client level for F&O segment.

.Is there any impact on the limit on execution of a buy/sale order?

If it is an execution of a fresh order (i.e. an order which would result into building up an open position), and if the margin blocked earlier at the time of order placement was less than the new margin requirement computed after order execution then limits would be adjusted appropriately for the difference, if any.

Accordingly, the limits are adjusted for differential margin on all the open positions in that underlying portfolio. Also the additional notional loss, if any, would be blocked and adjusted accordingly from the limits on all the open positions in that underlying after execution of order. If it is an execution of a cover order (order which would result into square off of an existing open position), then the effect of profit & loss on the square off of such a transaction would be factored into the limits.

If an execution of an order resulting into building up spread or hedged position, impact on limits would be in terms of release of differential margin depending on the margin required on the entire portfolio for that underlying. If an execution of an order resulting into squaring off of one leg of hedged positions , impact on limits would be in terms of blocking of additional margin on rest of the open positons in that underlying. If sufficient margin is not available to meet the margin requirements on rest of the open positions, then such open positions may be squared off by ICICI Securities due to margin shortfall.

. What is meant by 2L and 3L order placement?

2L and 3L order placement allow you to place more than one order in one go. Maximum 3 orders can be placed in one attempt. All orders placed through this system are IOC orders. All orders must satisfy the risk criteria on individual basis. If any of the order fails in risk validation, none of the order will be accepted by the system. Please note, currently this facility will not be provided for BSE contracts.

Orders can be placed in the same underlying contract or different underlying contracts as well. Orders in the same underlying contract can be placed using the 'Place 2L & 3L orders' link. Whereas orders in different underlying contract can be placed through 'My Favorites'. The execution of orders takes place in the same ratio in which the order was placed. It can be understood by the following example.

Contract

Minimum Lot

Order Flow

Order Qty

Available Qty

Fut-ACC-28 Feb 2002

1500

Buy

3000

3000

Fut-Nifty-28 Feb 2002

200

Buy

400

200

Orders in Fut-ACC-28 Feb 2002 and Fut-Nifty-28 Feb 2002 have been placed in 3000 : 400 or 15: 2 ratio. Execution will take place only if the same ratio can be maintained on execution also. In the above example, available quantities are not sufficient to maintain the ratio. Hence both the orders will be cancelled by the exchange.

If order qty for Fut-ACC-28 Feb 2002 is 1500 instead of 3000, execution will take place for 1500 Fut-ACC-28 Feb 2002 and 200 Fut-Nifty-28 Feb 2002. Remaining 1500 Fut-ACC-28 Feb 2002 and 200 Fut-Nifty-28 Feb 2002 unexecuted orders will be cancelled by the exchange.

. 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 F&O section. Select NSE or BSE as exchange from the dropdown in order to see the positions in respective exchange The open positions page gives details such as contract details, buy/sell position, open position qty, pending buy & sell order qty, average 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.

. 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: Intra day: 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.

. 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.


. How does the profit and loss recognized on execution of square up (cover) orders?

Execution price of cover order is compared against the weighted average price at which the position was built up / previous trading day EOD MTM price (as shown in the "Open Positions - Futures" table) and profit/loss is calculated therefrom.

For example, say you have a futures position - 'Buy 200 Reliance Shares' in contract Futures - ACC- 27 Feb 2002 at an average price of Rs. 300 per share created through the execution of two orders - 'Buy 100 @ Rs. 310 per share' and 'Buy 100 @ Rs. 290 per share'. If you square off a part of the position by selling 50 Reliance Shares @ Rs. 305 per share, the profit on such square off would be calculated as:

Quantity squared off * (Square off trade price - Weighted Average price of the position)

50 * (305 - 300) = 250

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


. 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.

. How do you calculate available margin?

Available margin is calculated by adding or deducting notional profit or loss respectively 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.

. How is notional profit or loss on Futures and short Options calculated to arrive at available margin ?

For your Futures Long & Short positions the profit/loss is computed considering the weighted average trade price or base price for positions traded during the day or carried forward positions respectively compared with the Current market price. Whereas, for your Short Option positions the profit/loss is computed considering the Previous days close price compared with the current market price of the contract position.

. 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 F&O section under view margin link.

. 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 intra day 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.

. 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 enter your password and submit. 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 intra day 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.

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 extreme loss 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 100 shares of Futures - ACC - 27 Feb 2002 at Rs.150 and margin blocked is Rs. 3000 and the minimum margin required is Rs 1500/- The current market price is now say Rs.130. This means the effective available margin Rs. 1000/- which is less than the minimum margin of Rs 1500/- and hence additional margin to be called in for. Revised initial margin calculated is say Rs.2600/-. Then Additional margin to be calculated as follows:

a. Margin blocked Rs.3000

b. Less : MTM Loss (150-130)*100 Rs.2000

c. Effective available margin (a-b) Rs.1000

d. Minimum Margin required Rs.1500

e. Re-calculated revised initial margin Rs. 2600

Additional margin Call (e-c) Rs. 1600

. 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 squared off 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 ."

. 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 limits available, if any.

. 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, near month contract first in any of the positions (out of Short Options or Long Futures or Short Futures contract positions) 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 (3).

3. Square off in Lot size of the next month contract any of the positions 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.

. 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.

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.

. 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 red colour. 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.

. 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 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.

. 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.

. 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 Futures Buy position of 500 qty of Reliance at Rs.900 expiring on 27th November 2020 where Margin Blocked against position is Rs. 249500 and Minimum Margin is Rs. 236000 Trigger Price calculation for Future Buy Positions: WAP on Contract level - ((Blocked Margin - Minimum Margin) / Open Position Quantity), Trigger Price = 900-{(249500-236000)/500} = 873

b. Trigger Price is calculated as follows in case of Sell positions: Example: If you have Futures Sell position of 1600 qty of ITC Limited at Rs 355 expiring on 27th November 2020 where margin blocked against position is Rs. 269520 and Minimum Margin is Rs. 246800 Trigger Price calculation for Futures Sell Positions: WAP on Contract level + ((Blocked Margin - Minimum Margin) / Open Position Quantity),
Trigger Price = 355 + {(269520-246800)/1600} = 369.2
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.

Will Trigger Price be recalculated on converting Future PLUS positions to Future?

Yes. Trigger Price will be recalculated on converting Future PLUS position to Future.

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.

In case of profit on a future position or where the Available Margin is in excess of the Margin Required, can I reduce the margin against the position to increase my limit?

No, you will not be able to release any margin but any release of margin in excess of required margin (in profitable position or due to reduction in margins, if any) is possible only when there is any change in the underlying portfolio which calls for re-computation of margins else such release will happen only when ICICIdirect runs its EOD MTM process or you square off your open position completely.

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

EOD MTM on daily basis is a mandatory requirement in case of futures. Every day the settlement of open futures position will take place at the closing price of the day. The average price column on Open position page for Futures displays the current days weighted average trade price for positions taken during the day or previous days closing price for carried forward positions. This average price is considered as base price and is compared with the closing price for the day and the difference (i.e. MTM Profit or loss) is cash settled. In case of profit in EOD MTM, limits are increased by the profit amount and in case of loss, limits are reduced to that extent. Next day the position would be carried forward at the previous trading day closing price at which last EOD MTM was run. Closing price for all the contracts are provided by exchange . It is different than LTP.

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. 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 open positions after EOD MTM, you must ensure that sufficient allocation is available under F&O segment. You must visit the allocation amount for F&O on daily basis and allocate further if present allocation is found insufficient.
Due to daily MTM and payin/payout, allocation amount for F&O may come down over a period of time and because of the same, open position may fall in MTM loop and may get squared off unless you allocate fresh amount for F&O. Payin amount is debited from allocation you make for F&O but payout credit is given in your linked bank a/c but allocated under Blocked for Trade (BFT) section of your F&O 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 F&O is insufficient.

What is Immediate or Cancel order?

An Immediate or Cancel (IOC) order allows the user to buy or sell a security as soon as the order is released into the system, failing which the order is cancelled from the system. Partial match is possible for the order and the unmatched portion of the order is cancelled immediately.

Settlement Obligation

. What kind of settlement obligation will I have in futures?

You can have following kind of settlement obligation in futures market:

1. Brokerage: Any transaction you enter into will attract brokerage. Brokerage is debited in your account at the end of the day.

2. Profit and loss on squared off position

3. Profit and loss on EOD MTM on open position

. Where can I see my settlement obligation?

You can see your obligation on cash projection page. The date on which amount is to be deducted 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.

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

All futures obligation is settled by exchange on T+1 basis. This means that any obligation arising out of transactions in futures or EOD MTM on day (t) is settled on an 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 days is holiday, credit would be given on subsequent day.

. According to cash projections, payin was scheduled yesterday but amount has not been deducted from my Bank Account?

If the payin amount is not significant, ICICIDirect may decide not to run the payin as scheduled. The outstanding payin amount may be clubbed with future payin amount or internally adjusted against the futures payout. Payin and payout internally adjusted will be clearly defined in cash projection.

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

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

Setting Trading Limits

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

Allocation has to be done separately for equity and F&O market. If you have allocated some funds for secondary market- equity, you will get the corresponding trading limits also for secondary market - equity. For trading limits in F&O, you will have to do separate allocation through "Modify Allocation" page.

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

Yes, In case the market wide open position for an underlying reaches a particular percentage specified by NSE and BSE, the trading in that particular underlying is disabled by NSE and BSE. Accordingly ISEC would also disable the trading in that particular underlying during market hours.

. 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.

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

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

. When do orders in Futures get freezed?

Orders in Futures may get freezed at the exchange end. There are two types of Freeze orders specified by exchange:

1. Price Freeze - In case of Stock Futures orders are freezed by exchange, if the price range specified is beyond 20% of base price i.e. previous days closing price. In case of Index Futures or Basket Futures orders are freezed by exchange, if the price range specified is beyond 10% of base price i.e. previous days closing price. However, the above price ranges may be changed depending upon the market volatility.

2. Quantity Freeze - In case of Stock Futures the quantity for each stock is specified by exchange from time to time and single order value should not normally be beyond Rs. 4 Crores. In case of Index Futures the quantity should not be beyond 15000. For further details on the respective quantities for each stock please refer NSE site http://nseindia.com/content/fo/qtyfreeze.xls

. Where can I see that my order is freezed?

The orders in F&O that get freezed appear with a blank status in the order book and the details of freeze can be seen in the order log by clicking on the order reference hyperlink.

. 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. ICICI Securities will not in any case be held liable or responsible for the orders frozen and/or losses incurred, if any due to limits blocked on such orders.

. What is Square Off all positions at Market?

Square Off all positions at Market feature will facilitate you to square off all open positions across all underlyings in F&O at market with a few clicks. This link is available on open positions page for Future, FuturePLUS and Option products. In case of SPAN since there is a common open position page for Future and Option, hence this feature will square off all open positions at market of both future and option together. There shall not be any pending order(s) in any of the contract of a product for using this feature. This feature cannot be used for selected positions and therefore you are advised to keep in mind the liquidity and impact cost in the open position contracts. There can be huge differences between bid and offer prices in certain contracts due to less liquidity and squaring off those positions at market may fetch you unfavourable execution price.


Research And Other Trading Tools


. What other resources will the site offer me to help in taking smarter decisions for online futures trading?

 Our site offers you a comprehensive set of resources like Derivatives School, My Index and Futures Pricing calculator to help you in making better decisions.

In "Derivatives School" you can get whole lot of information like introduction to futures and options, its application, pricing, various trading strategies etc.

"My Index" allow you to change the price of selected stocks and see its impact on index.

""Futures Pricing" facilitate you in finding the arbitrage opportunities. If futures price moves away from the fair price valuation, arbitrage opportunities will exist.

"I CLICK-2-GAIN" provides you tips for taking informed trading decisions



FAQ (Price Improvement Order)      FAQ (FUTURES)     FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)     FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)      FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)     FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX     FAQ(Global Indices)    Specific FAQs on BSE      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What is Price Improvement order in Future?

Under Price Improvement order for Futures, customer now will be able to place Futures Order with Price Improvement condition, where the Stop Loss and Limit price will change automatically w.r.t Market Price. Thereby, allowing customer with the facility of auto-updating the Stop Loss and Limit Price based on the Stop Loss update condition defined by I-Sec.

Stop Loss update condition for stocks can be seen from the 'Stock Lists' page.

. Can I place Price Improvement order in NSE and BSE?

Currently, Price Improvement order can only be placed in NSE.

. Can I place Price Improvement order in Future and Options?

Currently, Price Improvement order can only be placed in Future product.

. Can I place Price Improvement order at any time during the day?

You can place Price Improvement order any time in the normal session during market hours. Please note you cannot place orders in this product before or after market hours.

. Can I place Price Improvement order in all Derivative contracts?

Only selected contracts have been enabled for trading under Price Improvement Order in Future. 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 Price Improvement Order product and may, at its sole discretion, include or exclude any contract for trading in this product without any prior intimation.

. Where can I see whether the Stock is allowed for Price Improvement Order?

Please visit stock list page under F&O transact where you can see the Price Improvement allowed flag will be Y for all enabled stocks and 'N' for disabled. You can also view the Minimum Trailing amount and SLTP Update Condition columns for enabled stocks.

. How do I place Price Improvement order in Future?

You can place Price Improvement order by visiting the new 'Advanced Order' link under the F&O Transact section. You can also place Price Improvement order from Future buy/sell order placement page, where 'Place Futures Price Improvement Order' link is available.

. Can I place Price Improvement order at any time during the day?

Yes, you can place Price Improvement order at any time during market hours and even post market hours when the site is open for placing overnight orders.

. What will happen to my Overnight Price Improvement Order if next day's opening price is below or above SLTP Price?

If your Order (Buy/Sell) satisfies the SLTP Criteria then it will get triggered otherwise it will get trailed as per SLTP update condition. Consider the below scenarios:

a) Buy Overnight Price Improvement Order:

LTP at Overnight Order placement: 100

SLTP entered by Customer: 102

Limit Price: 104

Case 1: Now on next day if market opens at or above 102 i.e. SLTP price of your Price Improvement order then your order will get triggered immediately and execution will happen upto the Limit Price. This will help protect your losses on open positions in case of unfavorable market open on the next day. It will also help take positions at a better price for your new positions if the market starts trending in a specific direction.

Case 2: If on next day market opens below 102 i.e. SLTP price of your Price Improvement order then your order will get trailed at the next trail price as per the SLTP update condition defined by I-Sec for that underlying which is available on the Stock List page of our website.

b) Sell overnight Price Improvement Order:

LTP at Overnight Order placement: 100

SLTP entered by Customer: 98

Limit Price: 96

Case 1:

Now on next day if market opens at or below 98 i.e. SLTP price of your Price Improvement order then your order will get triggered immediately and execution will happen upto the Limit Price. This will help protect your losses on open positions in case of unfavorable market open on the next day. It will also help take positions at a better price for your new positions if the market starts trending in a specific direction.

Case 2: : If on next day market opens above 98 i.e. SLTP price of your Price Improvement order then your order will get trailed at the next trail price as per the SLTP update condition defined by I-Sec for that underlying which is available on the Stock List page of our website

. How can I convert my Price Improvement Order to Normal future order?

You can convert your Price Improvement Order to Normal future Order using Modify link in the Order book. You can untick Price Improvement Order checkbox on the Order modification page to convert a Price Improvement order to normal Futures order. Further, if you choose to modify the order validity to IOC or Order type to Market while modifying existing Price Improvement order it will get modified to Normal Futures order. Please note once your Price Improvement order gets triggered the order becomes a normal futures order and the pending unexecuted order quantity automatically gets modified and resides as a normal Futures order in the order book.

. Can I Convert/Modify normal Future order to Price Improvement order? If yes, then how can I do so?

Yes you can convert Normal future Order to Price Improvement order using 'Convert to Price Improvement Order' link which is available in Order book against unexecuted pending Futures order. Once you convert your order it will be displayed with Y flag under the Price Improvement Order column of the order book.

. How do I differentiate Normal future Order and Price Improvement Order?

You can differentiate Orders in Order Book through Price Improvement Order column , If it is 'Y' then it's a Price Improvement Order and If it is 'N' then it is Normal future Order.

. When does my Price Improvement Order become a normal Futures order i.e. Y flag becomes N in the order book under the Price Improvement Order column?

Please note that your Price Improvement Order automatically gets converted to normal Futures order in the below events:

1. If the Stop Loss is triggered for your Price improvement order and it remains pending then the pending order quantity is under N i.e. Normal Futures product. In this case you can modify your pending unexecuted order to Price Improvement Order if the underlying/contract is enabled.

2. If the Underlying/Contract gets disabled under Futures or for Price improvement order after you had placed your Price Improvement Order then it becomes N i.e. Normal Futures order after it falls under the modification process based on the next trail price. In this case the order would not be modified further and if you wish to you may cancel your order else it is likely to get executed if the last price reaches at exchange end and this order gets a match for execution.

. Where can I see the details of Price Improvement order?

You can visit online Order book and click the order reference number to view the order log where details like LTP, Trailing Amount entered ( difference between LTP and Stop Loss Trigger Price), initial Limit Price and initial SLTP at which the SLTP modification occurred shall be displayed.

. What is Stop Loss Update condition? Where can I see the SLTP update condition?

It is the price interval on the basis of which value of 'LTP at next SLTP update' is calculated. Once the LTP of the stock reaches or breaches this value then the Price Improvement order will trail with the updated SLTP and Limit price. You can visit the Stock List page and view the SLTP Update condition against the stocks which are enabled for Price Improvement Order.

For example, say LTP of NIFTY is 8000 and SLTP Update condition is 5.

For a sell order, this implies that if LTP moves to 8005 or above only then order will trail automatically by modifying the SLTP and Limit Price and if the LTP remains below 8005 then SLTP will remain unchanged.

For a Buy order, this implies that if the LTP moves to 7995 or below only then order will trail automatically by modifying the SLTP and Limit Price and if the LTP remains above 7995 then SLTP will remain unchanged.

. Which order details can I modify in a pending Price Improvement order?

You can modify order quantity, order validity, order type, SLTP, Limit Price and Trailing Amount.

. Can I place any order validity or any order type while placing Futures Price Improvement orders?

No. Futures Price Improvement orders are mandatorily limit orders with Stop Loss Trigger Price and with day validity. Hence IOC validity and or Market order type are not allowed while placing Price Improvement orders.

. How many times an order can be modified?

An order can be modified to a maximum of 96 times. Price Improvement order will not trail after effecting 96 number of modifications.

. What is Trailing amount? Is there any minimum trailing amount which must be maintained for Price Improvement order?

Trailing amount is the absolute price difference between LTP and SLTP for a Price Improvement order. You cannot keep this difference less than the minimum trailing amount defined for a stock.

Minimum trailing amount for a stock can be seen from the 'Stock list' page.

. How the Price Improvement order will trail?

You can refer to the below example to have a better understanding of the Price Improvement order:

Assume, LTP of NIFTY is 8000 and SLTP Update condition is 10.

1) For a Sell Price Improvement order you enter SLTP as 7995 and Limit Price as 7990. Now if LTP moves to 8010 then order will trail with SLTP as 8005 and limit price as 8000. If LTP moves down to 8005 then order will get triggered and gets converted into a normal Futures order i.e. will not be trailed after it gets triggered. However, if the order remains pending i.e. unexecuted then you can again convert this Futures order to Price Improvement Orderusing 'Convert to Price Improvement Order' link against the pending order on the Order book.

2) For a Buy Price Improvement order you enter SLTP as 8005 and Limit Price as 8010. Now if LTP moves to 7990 then order will trail with SLTP as 7995 and limit price as 8000. If LTP moves up to 7995 then order will get triggered and gets converted into a normal Futures order i.e. order will not be trailed after it gets triggered. However, if the order remains pending i.e. unexecuted then you can again convert this Futures order to Price Improvement Order using 'Convert to Price Improvement Order' link against the pending order on the Order book.

. What will happen to my pending Price Improvement order if the SLTP Update condition is changed during the day?

If the SLTP update condition is changed during the day then the next trail (not immediate trail) of your pending Price Improvement order will happen according to the changed SLTP update condition.

. What will happen if my Price Improvement order gets triggered and remains pending?

Your Price Improvement Order will become a normal Future order as soon as it gets triggered. This means it will no longer have the Price Improvement feature and will not trail. However, if you want to trail the order for remaining quantity, you can convert the partly executed order in to Price Improvement order using 'Convert to Price Improvement Order' link against the pending order on the Order book.

. Will my part executed Price Improvement order trail for the remaining open quantity?

As explained above once your order gets triggered it will become a normal Future order which will not have the Price Improvement feature and hence won't trail. However, if you want to trail the order for remaining quantity, you can convert the partly executed order in to Price Improvement order.

. Can my Price Improvement Order stop trailing in any situation?

Yes, your Price improvement Order will stop trailing and get converted into Normal future Order by System in case it does not meet any of the existing validations applicable to normal Futures product like price range, quantity or value checks etc. Also Price improvement trailing flag will become 'N' in Order Book.

. Can trailing be disabled during the day for already enabled underlying? What will happen to my existing order in such a case?

Yes, trailing can be disabled as per internal risk call by I-Sec and your Price Improvement order may stop trailing in case trailing gets disallowed for any reason during the day but your square off Price Improvement Order will continue to trail.

. What will happen if my Price Improvement order remains unexecuted during the day?

All unexecuted orders will get expired post market hours. You can place a fresh Price Improvement order for the next trading day.

. How the funds will be blocked under Price Improvement order?

Funds will be blocked as existing like Future. Margin percentage can be seen in Stock List page.

. What will happen to my Price Improvement Order if available limit is not sufficient to trail the Order?

Your Price improvement Order will stop trailing and get converted into Normal future Order by System in case, if available Limit is Insufficient to trail the order. Also Price improvement trailing flag will become 'N' in Order Book.

. Will my Price Improvement order trail when the price feeds for a stock are not received?

Your Price Improvement order will not trail for a stock whose price feeds are not received due to any reason.

. Will my Price Improvement order trail for the price feeds received when the order acknowledgement process is underway?

Your Price Improvement order will not trail for the price feeds received between the time when order modification is sent to the exchange and its acknowledgement is received.

. How will the settlement of my executed Futures Price Improvement order happen?

Once the Futures Price Improvement Order is executed it will be treated like any normal Futures trade and all the existing functionality and processes for Futures would continue for such executed Futures Price Improvement orders.

. What will be the brokerage charged on trades under Futures Price Improvement order?

Once the order is executed it will behave like normal Futures and existing brokerage plus other charges as applicable for Futures trades in your account would continue to apply to such Trades under Price Improvement Order feature.



FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES)     FAQ (Price Improvement Order)      FAQ (FUTURES ROLLOVER)     FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)      FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)     FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX     FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What is Futures "VTC Square off" order?

Valid Till Cancel (VTC) Square off order is a new facility offered through ICICIdirect.com using which you can place buy and sell Square off Limit orders for open positions in Future contracts by specifying the date till which you want the order instruction to be valid, if not fully executed/cancelled/rejected . The period selected by you should be within the maximum validity date defined by ICICI Securities Ltd. (I-Sec) which will be the Expiry date of the respective contract chosen by you.

. How does Futures VTC Square off order feature work?

When you place a VTC Square off order, you give an order instruction to I-Sec such that if the order is not executed for the entire quantity, I-Sec will be authorised on your behalf to place fresh orders for the unexecuted quantity in your account on the subsequent trading days till the entire quantity is executed upto the net open position in that contract or till the validity expires or order is rejected or cancelled (due to any reason), whichever is earlier. The feature allows you to specify the maximum date to ensure that order is placed on your behalf by I-Sec everyday till the maximum validity date chosen by you.

Your Futures VTC Square off order will remain valid till the maximum valid date if the order remains unexecuted and if not cancelled / rejected and will be expired at the end of every trade date . At the end of day, after market hours (post order being expired), I-Sec will place overnight orders on your behalf at the same limit price and for the unexecuted quantity for the next trade date provided your validity date is less than or equal to the next trade date and your order is neither cancelled nor rejected.

For example, on trade date 13-08-2015, you can place a square off buy order with VTC order validity to square off your open position of 100 quantity of FUT-NIFTY-27-Aug-2015 at a Limit price of 8404.05 with order validity date 27-08-2015. Hence your VTC order will be valid till 27-08-2015 if not fully executed or cancelled or rejected.

. Can I place VTC Square off ordes in all the products under F&O Segment?

No. You can place VTC Square off Orders only in Futures Product under F&O Segment.

. Can all clients of ICICI Securities Limited avail Futures VTC Square off facility?

Yes. All online existing and new clients of ICICI Securities Limited who are eligible to trade in Futures under the F&O segment can avail VTC facility for placing their Futures Square off orders.

. Can I place Buy Square off and Sell Square off orders with VTC order validity?

Yes VTC order validity is available for all square off orders under Futures product which could be both Buy as well as Sell square off orders .

. Can I place SLTP Square off orders with VTC validity ?

No. You cannot place SLTP Futures Square off orders with VTC order validity. You can only specify the quantity to be bought or sold and the limit price at which the order needs to be placed.

. Can I place market Square off orders with VTC order validity?

No. Future Square off order with VTC order validity are allowed only with a Limit order type and you cannot place a market order with VTC order validity.

. Why should I place buy/sell square off orders with VTC validity?

VTC Square off facility allows you to place buy/sell square off orders under Futures product for the unexecuted quantity of your Future open postion as per your limit price till your specified order validity date or till the entire quantity is executed, whichever is earlier provided your VTC order is not cancelled or rejected. With this facility if your square off order remains unexecuted on a specific trade date you are not required to login again for order placement and place the same orders repeatedly at your chosen Limit price. I-Sec provides you the flexibility of using this facility and providing the validity date, pursuant to which I-Sec will place the orders in your account on your behalf during the VTC order validity date.

. Do I need to allocate funds for placing Future Square off orders with VTC order validity?

No. Your Buy/Sell VTC Square off orders are similar to your Normal Square off orders except the validity date.

. What is meant by Order Validity Date ? Please explain how does it work?

Order Validity Date means the date chosen by you while placing Future Square off orders with VTC order validity. This date has to be equal to or less than the maximum validity date defined by I-Sec (currently Expiry date of the contract) which would appear as the default date against the date field besides VTC order validity which will be the Expiry Date of the Contract. For example, if the maximum validity date defined by I-Sec is the expiry date then the order validity date can be less than or equal to the default date appearing against the date field besides VTC order validity. If the contract Expiry Date is August 27, 2015 then August 27,2015 would appear as the default date besides VTC order validity. In this case you can choose the VTC order validity date as less than or equal to August 27,2015.

. How can I specify the validity date?

You can specify the order validity date by selecting from the calendar available on the order placement page near the VTC order validity radio button. Alternatively, if the date is not selected, the default date, which is the maximum allowed validity date for such orders, will be considered by I-Sec as your validity date for the orders placed by you.

. What happens if VTC order validity date falls on a non trading day?

If your VTC order validity date falls on a non trading day, the order is expired by I-Sec on the last trading day which falls prior to such order valid date which is a non trading day. Post the expiry, the status of VTC order is updated as Expired (Closed).

For example:
You have placed a VTC request first on 23-07-2015 for squaring off 25 Quantity of NIFTY Future contract at a Limit price of Rs. 8600 with order validity date of 25-07-2015. In this case: Start Date = 23-07-2015 Thursday
Validity Date = 25-07-2015 Saturday i.e. Trading Holiday

Thereby, if on 23-07-2015 your order with VTC order validity date of 25-07-2015 remains unexecuted or partly executed, then I-Sec will place the same order for the unexecuted quantity as overnight order at end of day of 23-07-2015 for the next trade date i.e. 24-07-2015. If on 24-07-2015 the order still remains unexecuted then I-Sec will not place the order on subsequent trade day since the valid date 25-07-2015 is less than the next trade date (27-07-2015) this order would get Expired (Closed).

. Do I need to log in on every trade date to place the unexecuted Future Square off order having a future VTC validity date?

Once you have placed your VTC Square off order, I-Sec will place orders for the unexecuted quantity of your VTC order for all the days during the validity period or till the quantity is fully executed or canceled or rejected due to any reason. You need to login to your account only to monitor the status of such orders.

. Can I place VTC Square off orders in any Future contract?

VTC Square off orders can be placed in all Future contracts that are available for trading in Futures segment.

. In which exchanges can I place VTC orders ?

You can place VTC orders on National Stock Exchange(NSE). Kindly note that VTC is an additional facility in the nature of a new order type offered by ICICIdirect.com to its customers and is not a product provided by Exchange.

. Can I place VTC Square off orders at any time during the day?

Yes. You can place VTC Square off orders (only Limit order type) at any time during market hours and even post market hours when the site is open for placing overnight orders.

. Can I place VTC Square off orders through CallNTrade?

Yes. You can place your VTC Square off orders through CallNTrade.

. How many VTC Square off orders can I place in a day? Is there any restriction on the number of contracts in which VTC Square off orders can be placed?

No, there are no such restrictions. You can place multiple VTC Square off orders in a day upto the open position quantity. Also, orders can be placed in different contracts as well as with different validity dates in the same contract upto the open position quantity after considering the quantity for which cover square off order already placed.

. What will happen in case there is a corporate action happening in the underlying in which I have placed VTC Square off order and order is still valid?

If a corporate action is announced in an underlying then such scrips are disabled by I-Sec for VTC overnight order placement on your behalf from Ex date - 1 day till Record date. If your VTC order in such scrip is still valid then your VTC Square off orders in such underlying contracts will get rejected during this period and orders will not be placed on subsequent days post rejection by the system. This is to safeguard your interest and avoid placement of orders at unrealistic prices due to the impact of corporate action. You are thereby requested to login into your account to see the status of orders in such contracts and place fresh Square off orders again at appropriate prices in case you wish to continue with VTC Square off orders in such scrips after corporate action has been completed.

. When would orders for the unexecuted quantity of VTC Square off orders be placed by I-Sec ?

If your VTC square off order remains unexecuted and is neither cancelled, nor rejected due to any reason, then daily orders for the unexecuted quantity will be placed as overnight orders by I-Sec during the validity period, i.e. until the order validity date is less than or equal to the next trade date.

The orders would be placed on the next trading day. Orders would be sent along with all overnight orders after market opens for trading on the next trading day. I-Sec would send these orders to Exchange post market opening on a best effort basis and cannot be held responsible for any losses incurred due to delays in sending these orders to the Exchange. You are required to monitor the status of these orders so that you can modify the VTC order price/quantity or place fresh order in case of rejection/cancellation, if you so desire.

. Where can I view the details of VTC orders?

You can view the details of VTC orders in your account under the normal F&O online order book.

To view further details of orders placed by I-Sec for the unexecuted quantity during the validity period, you can visit the Order placement log on the F&O Order Book. The Log is displayed on clicking the order reference hyperlink of your respective order. The Remarks column under the order log displays the "VTC Order" rejection/cancelation remarks, if any.

. How would I know that orders for the unexecuted quantity of VTC orders will no longer be placed by I-Sec?

You can view the status of your VTC orders by visiting the order book of your F&O trading page.

On clicking the order valid date against the respective order, if the 'Status' column displays as 'Rejected (Closed)' or 'Expired (Closed)'then the order would not be further placed by I-Sec as the same has been closed either due to rejection or expiry of the validity period.

If the same 'Status' column displays status as 'Expired' under the valid date hyperlink and valid date is more than the current trade date then the order is still valid and such expired orders would be placed by I-Sec for the unexecuted quantity.

. How can I differentiate between VTC order validity and other Future orders?

VTC orders will have a validity date as defined by you and will be displayed under the Valid Date/Order Ref. column in the order book. You can also view 'VTC order' remarks in F&O ORDER LOG to identify VTC order.

. Can I modify VTC orders?

Yes. You can login to your account and visit the F&O order book to modify the quantity, limit price or Validity Date of your VTC orders. Please note that you will be able to modify the order only when the order is in 'Ordered status' (during market hours) or 'Requested status' (after market hours).

. Can I cancel VTC orders?

Yes. You can login to your account and visit the F&O order book to cancel your VTC orders any time when the order is in 'Ordered status' (during market hours) or 'Requested status' (after market hours).
Once you have cancelled your VTC order, your order would stand cancelled and thereafter no such VTC orders would be placed by I-Sec on your behalf.

. Is the brokerage rate different for normal Future transactions and VTC orders?

No. There is no change in the brokerage rates for your normal Future transactions and Futures VTC orders. The Brokerage rates and applicable charges are same for your normal Future transactions and VTC orders under the Futures product.

. If my VTC square off order quantity is greater than the available net open position quantity in that particular contract then will it be placed at exchange on the next trading day?

No. I-sec will place the VTC square off order (for unexecuted quantity) on the next day only if the VTC order quantity is less than or equal to the available net open position quantity in a particular contract.

. How will VTC orders be settled ?

The settlement of your VTC orders will be done in the same manner as that of normal Future transactions. Please click here to know more about settlement related FAQs.

. Would my rejected VTC orders be re-triggered /placed by I-sec for placing orders on my behalf ?

If your order is rejected due to the 'Price range reason' then only it will be re-triggered / placed by I-sec on next trading day.

Please note your VTC orders rejected due to any other rejection reason will be not be re-triggered / placed by I-sec.

For e.g. If Customer placed Future VTC order on 27 Nov 2017 and if it is unexecuted for the day. Then system will place VTC order for next trade date i.e. 28th Nov 2017 and if it is rejected due to Price range on that day i.e. 28th Nov 2017, then only system will place VTC Order for 29th Nov 2017. For any other rejection reason this rejected VTC order will not be placed for the next trade date i.e. 29th Nov 2017 onwards.

. Can I to cancel or stop VTC order which are rejected everyday due to price range ?

Yes, you can stop or cancel such orders which are rejected everyday using the facility 'Stop VTC' available on Order book. This link will appear only against the VTC orders rejected due to 'Price range' as they are resent by I-sec on your behalf. Such VTC orders will not be resent on next trading day.



FAQ (FUTURES ROLLOVER)      FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ (FUTURES ROLLOVER WITH SPREAD)     FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)      FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)     FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX     FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What is Rollover?

Rollover is an additional facility which will help you to square-off your near month position and take a fresh position in the same direction in Middle/Far month contract of your choice. Rollover order will be 2 L(you may refer above FAQ on 2L) IOC(Immediate or cancel) order and both orders to have same number of lots.

. Can I place rollover for both Future and Options product?

No. Currently, rollover facility will be provided only for your Futures positions

. Can Rollover order be placed for positions in all expiring contracts?

No. Rollover order can be placed only for your Futures positions in the Near month expiry contracts.

. On which exchanges will I be able to use the Rollover facility ?

Rollover facility will be provided only on National Stock Exchange of India (NSE).

. From where can I place Rollover orders?

A link named 'Rollover' will appear against your near month future positions on the open position page. You can click on this Rollover link to place rollover orders.

. How will the Rollover facility work?

Once you click on Rollover link from your open positions page, a 2 Leg order placement page would open. From the same page you can place 2 orders, first being the square off order for your near month Future position against which Rollover link was selected and second order would be to create a fresh position in the same direction as that of the existing near month position. You can choose to select the second order in either middle month or far month contract. For both the orders under rollover, you can enter the quantity upto position quantity, select the order type as (Limit or Market) and enter appropriate price in case of limit orders. You can place same number of lots in both orders forming part of rollover and either both will get immediately executed or cancelled for the same number of lots depending on the match available at exchange end.

. Can I place Market and Limit orders under the Rollover facility ?

Yes. It is possible to place both Market and Limit orders under the Rollover facility. However, it is preferable to choose both the order type as market for smooth Rollover. You are requested to note that in case of market orders if the scrip is liquid and less volatile then execution may take place close to the current market price prevailing but in case of illiquid scrips and volatile market your execution price may vary from the current market price which was prevailing at the time of Rollover order placement.

. Can I place Rollover order for more than open position Quantity?

No, Rollover order can be placed only upto the net open position quantity. You would need to consider the cover orders already placed against such positions for which the rollover facility is being used and Rollover only the balance open position quantity.

. Can I place part Rollover order against the open position quantity ?

Yes, you can place part Rollover order against the open position quantity in multiple of the lot size.

For example: If you have buy position of 150 quantity in Nifty Futures February contract and lot size is 50, then you can place rollover orders for 50 or 100 or 150 quantity of your choice.

. If I have placed cover order then will I be able to place rollover order?

You cannot place rollover order, to the extent of a cover square off order quantity, which is already placed by you but you can still continue to place Rollover orders to the extent of remaining net open position quantity.

For example: If you have buy position of 150 quantity in Nifty Futures February contract and you have already placed cover square-off order for 50 quantity then you can place rollover orders only upto the remaining position i.e.100 Quantity.

. Is Rollover facility available for both buy as well as sell position?

Yes. Rollover facility will be available against both buy as well as sell open positions, if they are in the near month Future contract.

. How can I distinguish between Rollover orders from other orders?

In order book, under the "Order Ref." column, a caption that "This is a Rollover Order" is provided to help you easily identify your rollover orders.

. Will my Rollover orders always get executed?

Rollover orders are 2L IOC orders and like other orders will get executed at exchange end, only if they get a suitable match. Since these orders are 2L IOC orders, if there is no match they stand cancelled on immediate basis. Thereby, it is preferable that you visit the online order book to check the status of your rollover orders and in case they are not executed you may choose to place rollover again.

. Will Rollover facility be available if I am mapped to SPAN or Non-SPAN margining?

Yes, Rollover facility would be available to you under both SPAN as well as Non-SPAN margining system.

. Can I Place Rollover orders after market hours?

No, You cannot place Rollover orders after market hours. Rollover facility is available only during market hours.

. Will I be able to do rollover in any contract?

You will be able to rollover only contracts which are enabled for trading under Future product. You may visit the 'Select Contract' page displayed after clicking 'Place Order' page to know the list of contracts enabled for trading. In case all future month contracts are disabled due to liquidity then Rollover will not be allowed in that particular underlying.

. Will I be able to place Rollover order on the date of expiry of Futures contract?

Yes, you will be able to use the rollover facility till the date of expiry of the Futures contract provided that particular underlying is enabled for Rollover and contract is enabled for trading.

. If I am a Non-SPAN customer then how will margining be done for Rollover?

At the time of Rollover order placement, additional differential margin required will be computed after giving the effect of rollover trades in both the months as follows:

Additional margin required on Rollover = Margin required to take position in the new month contract - Existing margin blocked on near month position + Notional Loss/Profit of Near Month Futures contract

If you do not have sufficient limit to bring additional margin required on Rollover, then you will not be allowed to place Rollover order.

For Example: You have a near month position of 50 quantity Buy in NIFTY say Fut-Nifty- 28-Feb-2013 at Rs. 6080 and IM% is 8%. You now want to Rollover this entire position in Fut-Nifty-28-Mar-2013 at Rs. 6100 and the LTP of Fut-Nifty-28-Feb-2013 is 6075 at the time of rollover.

Then in the above example;

Existing Margin blocked = 6080*50*8% = 24320
New Margin required = 6100*50*8% = 24400
Notional Profit/(Loss) = (6075-6080)*50 = 250 Loss

Additional Margin required to Rollover = 24400 - 24320 + 250 = 330

. Can I place rollover order for my spread position?

Rollover link will be available if one of the spread contract positions is in the near month. Please note that if you place rollover orders in the same contracts as that of the existing spread position it may result into square off of the entire spread position and no rollover will happen. Thereby, you are requested to to use the rollover facility only in case of non spread positions and if you wish to square off your spread position it is preferable that you use the existing joint square off facility under Non SPAN or use the Rollover facility but this will result in square off of both the contract positions forming spread.

. Are there any additional charges for Rollover?

No. There are no additional charges for rollover and the existing brokerage and applicable statutory charges would be levied even on the Rollover transactions depending on the brokerage plan availed by you.



FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)      FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)     FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX     FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What is Rollover with spread?

Rollover with spread is an additional facility wherein using exchange's spread order functionality you will be able to square-off your Near/Middle Month position and take a fresh position in the same direction in Middle/Far month contract by defining "Spread Rate" and Rollover would happen at the spread rate or at a better price available in the market. Please note that under rollover with spread functionality the source and destination months contracts will have same number of lots.

. What is Spread Rate?

Spread Rate is the price difference and the spread order will be executed only if the Price difference available in the market is equal to or better than the price difference entered by you. You can enter positive, zero and negative value as Spread rate.

. Can I place rollover with spread for both Future and Options product?

No. Currently, rollover with spread facility will be provided only for your Futures positions.

. Can Rollover with spread order be placed for positions in all expiring contracts?

No. Rollover with spread order can be placed for your Futures positions in the near and middle month expiry contracts.

. On which exchanges will I be able to use the Rollover with spread facility?

Rollover with spread facility will be provided only on National Stock Exchange of India (NSE).

. From where can I place Rollover with spread orders?

A link named 'Rollover with spread' will appear against your near/middle month future positions on the open position page. You can click on this Rollover with spread link to place Rollover with spread orders. This facility will be available as per the exchange's spread combination contracts enabled at the discretion of I-Sec.

. How is 'Rollover with Spread' different from 'Rollover'?

Rollover with Spread facility is a rollover order with day validity wherein you can rollover your position by defining a spread rate. This facility will be available for enabled spread combination contracts. Whereas, normal 'Rollover' is a 2L IOC (Immediate or cancel) Market/ Limit order wherein you can rollover your positions at Market price or by defining Limit Price for single/both legs.

. How will the Rollover with spread facility work?

Once you click on Rollover with spread link from your open positions page, a rollover with spread order placement page would open. From the same page you can place 2 orders, first being the square off order for your near or middle month Future position against which Rollover with spread link was selected and second order would be to create a fresh position in the same direction as that of the existing near or middle month position. You can choose to select the second order in either middle month or far month contract. For both the orders under Rollover with spread, full quantity i.e. open position quantity less already covered Order and the order type as Limit is displayed by default and you have to enter appropriate spread rate. The Rollover with Spread orders will get executed for the same number of lots for source and destination month.

. Can I modify or cancel roll over with spread order?

Yes, you can modify or cancel the pending rollover with spread orders. You can modify the quantity downside or up to the open position quantity in multiple of lot size. Modify and Cancel link is displayed in Action column against the linked rollover spread orders and action taken on any one will be applicable on other.

. Can I place Market orders under the Rollover with spread facility?

No. You can only place Limit orders by defining spread rate under the Rollover with spread facility.

. Can I place Rollover with Spread order for more than open position Quantity?

No. Rollover with Spread order can be placed only upto the net open position quantity. You would need to consider the cover orders already placed against such positions for which the Rollover with spread facility is being used and place rollover with spread order only for the balance open position quantity.

. Can I place part Rollover with Spread order against the open position quantity?

Yes, you can place part Rollover with Spread order against the open position quantity in multiple of the lot size.

For example: If you have buy position of 225 quantity in Nifty Futures September contract and lot size is 75, then you can place Rollover with spread orders for 75 or 150 or 225 quantity as per your choice.

. If I have placed cover order then will I be able to place Rollover with spread order?

Yes, you can place Rollover with spread order but to the extent of remaining net open position quantity i.e. open position quantity less already covered open position quantity placed by you.

For example: If you have buy position of 225 quantity in Nifty Futures September contract and you have already placed cover square-off order for 75 quantity then you can place Rollover with spread orders only upto the remaining position i.e. 150 quantity.

. Is Rollover with spread facility available for both buy as well as sell position?

Yes. Rollover with spread facility will be available against both buy as well as sell open positions, if they are in the near or middle month Future contract.

. How can I distinguish between Rollover with spread orders from other orders?

In order book, under the "Order Ref." column, a caption that "This is a Rollover Spread Order" is provided to help you easily identify your Rollover with spread orders.

. Will my Rollover with spread orders always get executed?

Rollover with spread orders are 2L orders with Day validity and like other orders will get executed at exchange end, only if they get a suitable match. All unexecuted orders will get expired at end of the day.

. Will Rollover with spread facility be available if I am mapped to SPAN or Non-SPAN margining?

Yes, Rollover with spread facility would be available to you under both SPAN as well as Non-SPAN margining system.

. Can I Place Rollover with spread orders after market hours?

No, You cannot place Rollover with spread orders after market hours. Rollover with spread facility is available only during market hours.

. Will I be able to do Rollover with spread in any underlying?

You may visit Underlying list page to know the underlyings in which Rollover with Spread facility will be enabled by I-Sec. You will be able to Rollover with spread only in contracts which are enabled for trading under Future product and this facility will be available as per the exchange's spread combination contracts enabled at the discretion of I-Sec.

. Will I be able to place Rollover with spread order on the date of expiry of Futures contract?

Yes, you will be able to use the Rollover with spread facility till the date of expiry of the Futures contract provided that particular underlying is enabled for Rollover with spread and contract is enabled for trading.

. How will margining be done for Rollover with spread?

At the time of Rollover with spread order placement, additional differential margin required for taking position in destination month (Mid/Far) will be calculated basis spread rate i.e.

Additional margin required on Rollover with spread = Margin required to take new position in destination month contract - Existing margin blocked on source month position + Notional Loss of Source Month Futures position.
(Please note in case of notional loss the same will be added in the margin required and in case of notional Profit the same is ignored.)

  1. If the spread rate is positive or zero - In case of Loss :

    Margin required to take new position in destination month contract = (source month LTP + Spread Rate) * IM% * Quantity.

    For Example: You have a buy position of 75 quantity in say Fut-Nifty- 26-Sept-2019 at Rs.11050 and IM% is 10%. You now want to Rollover with spread this entire position to Fut-Nifty-31-Oct-2019 at spread rate of 25 and at the time of Rollover with Spread the LTP of Fut-Nifty- 26-Sept-2019 is 11015 and Fut-Nifty-31-Oct-2019 is 11110.

    Then in the above example:

    Existing Margin blocked = 11050*75*10% = 82875
    Notional Profit/ (Loss) = (11015-11050)*75 = 2625 Loss
    Margin required to take new position in destination month = [(11015+25) * 10% * 75)] = 82800

    Additional Margin required to Rollover with spread = 82800 - 82875 + 2625 = 2550

  2. If the spread rate is positive or zero - In case of Profit :

    Margin required to take new position in destination month contract = (source month LTP + Spread Rate) * IM% * Quantity.

    For Example: You have a buy position of 75 quantity in say Fut-Nifty- 26-Sept-2019 at Rs.11050 and IM% is 10%. You now want to Rollover with spread this entire position to Fut-Nifty-31-Oct-2019 at spread rate of 25 and at the time of Rollover with Spread the LTP of Fut-Nifty- 26-Sept-2019 is 11075 and Fut-Nifty-31-Oct-2019 is 11110.

    Then in the above example:

    Existing Margin blocked = 11050*75*10% = 82875
    Notional Profit/ (Loss) = (11075-11050)*75 = 1875 Profit*

    Margin required to take new position in destination month = [(11075+25) * 10% * 75)] = 83250

    Additional Margin required to Rollover with spread = 83250-82875 = 375

    *Please note notional profit is not considered for additional margin required in spread rollover.
  3. If the spread rate is negative - In case of Loss :

    Margin required to take new position in destination month contract = (higher of source/ destination month LTP) * IM% * Quantity

    For Example: You have a buy position of 75 quantity in say Fut-Nifty- 26-Sept-2019 at Rs.11050 and IM% is 10%. You now want to Rollover with spread this entire position to Fut-Nifty-31-Oct-2019 at spread rate of -5 and at the time of Rollover with Spread the LTP of Fut-Nifty- 26-Sept-2019 is 11015 and Fut-Nifty-31-Oct-2019 is 11110.

    Then in the above example:

    Existing Margin blocked = 11050*75*10% = 82875
    Notional Profit/ (Loss) = (11015-11050)*75 = 2625 Loss
    Margin required to take new position in destination month = (11110 * 10% * 75) = 83325

    Additional Margin required to Rollover with spread = 83325 - 82875 + 2625 = 3075
  4. If the spread rate is negative - In case of Profit :

    Margin required to take new position in destination month contract = (higher of source/ destination month LTP) * IM% * Quantity

    For Example: You have a buy position of 75 quantity in say Fut-Nifty- 26-Sept-2019 at Rs.11050 and IM% is 10%. You now want to Rollover with spread this entire position to Fut-Nifty-31-Oct-2019 at spread rate of -5 and at the time of Rollover with Spread the LTP of Fut-Nifty- 26-Sept-2019 is 11075 and Fut-Nifty-31-Oct-2019 is 11110.

    Then in the above example:

    Existing Margin blocked = 11050*75*10% = 82875
    Notional Profit/ (Loss) = (11075-11050)*75 = 1875 Profit*
    Margin required to take new position in destination month = (11110 * 10% * 75) = 83325

    Additional Margin required to Rollover with spread = 83325-82875 = 450

    *Please note notional profit is not considered for additional margin required in spread rollover.
Please note, if you are mapped to SPAN then above margining will not be applicable and it will be on portfolio basis as per exchange SPAN.

. Can I place Rollover with spread order for my spread position?

Rollover with spread link will be available if one of the spread contract positions is in the near or middle month. Please note that if you place Rollover with spread orders in the same contracts as that of the existing spread position it may result into square off of the entire spread position and no Rollover with spread will happen. Thereby, you are requested to use the Rollover with spread facility only in case of non-spread positions and if you wish to square off your spread position it is preferable that you use the existing joint square off facility under Non SPAN or use the Rollover with spread facility but this will result in square off of both the contract positions forming spread.

. Are there any additional charges for Rollover with spread?

No. There are no additional charges for Rollover with spread and the existing brokerage and applicable statutory charges would be levied even on the Rollover with spread transactions depending on the brokerage plan availed by you.



FAQ (FuturePLUS Normal Margin)      FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      Trade Analysis      FAQ (OPTIONS)      FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)      FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX     FAQ(Global Indices)    Specific FAQs on BSE     FAQ (FuturePLUS Stop Loss with Profit Order)      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

1.Why Future Plus with normal margin (without cover order) ?

. What is FuturePLUS product on ICICI direct?

"FuturePLUS with normal margin" is a product under the exisitng F&O segment. In "FuturePLUS", customers would take buy/sell positions in future contracts with the intention of squaring off the position on the very same day before close of market hours. If, during the day, the price moves in favour (rises in case of a buy position or falls in case of a sell position), then customers would make a profit and vice versa.

. How is FuturePLUS different from trading in Futures?

To trade in FuturesPLUS, you have to deposit lesser margin as compared to that required for Futures. Thereby you can trade more in FuturePLUS than you can in Futures with the same limit.

. Why should I trade in FuturePLUS?

With "FuturePLUS" you will be able to leverage more on your trading limit by taking buy/sell positions of higher value than what you are currently able to take in Futures.

2.Get started with FuturePLUS

. How can I get started in FuturePLUS?

To start trading in FuturePLUS you can accept the Terms & Conditions online for FuturePLUS by logging into your trading account.

. Where will I find the Terms & Conditions for FuturePLUS on logging into my account?

Once you are logged into your trading account with your user id and password, you can go to the F&O section and place order in FuturePLUS product type where you will be requested to accept the Terms & Conditions as a onetime activity before placing the first order.

. When can I start trading in FuturePLUS?

Once you have accepted the Terms & Conditions you can start trading in FuturePLUS.

. Can I place transaction in FuturePLUS while I am mapped to SPAN margining?

Yes. You can place transactions in FuturePlus while mapped to SPAN margining but the margining for FuturePLUS is independent and will be done as per normal scrip wise margining system instead of portfoilo based margining system.

3.Trading in FuturePLUS

. On which exchanges will I be able to buy and sell in FuturePLUS?

ICICIdirect offers you execution capability on the National Stock Exchange of India Ltd. (NSE) and Bombay Stock Exchange (BSE). Please refer the last section on Specific FAQs with regards to BSE to know the main differences with regards to F&O trading on BSE.

. Can I place transaction in FuturePLUS through Call Centre?

Yes. Similar to Future & Options, you can also place transactions in FuturePLUS through Call Centre.

. Which stocks are eligible for FuturePLUS trading? Why is the stock list restricted to specific scrips only?

At present, selected stocks have been enabled for trading in FuturePLUS. Only those stocks which meet the criteria on liquidity and volume as decided by ICICIdirectare considered for FuturePLUS trading. The list of stocks is subject to change from time to time by ICICIdirect.

. Which contracts under an underlying are enabled for FuturePLUS trading? Why is the contract list restricted to specific contracts only under various underlyings?

ICICIdirect enables selected contracts under various underlyings for trading in the FuturePLUS segment. Only those contracts, which meet the criteria on liquidity and volume are considered for FuturePLUS trading. This is required as there may be a risk of lower liquidity in some contracts as compared to active contracts . As a result, your order may only be partially executed, or may be executed with relatively greater price difference or may not be executed at all. Thereby to safeguard your interest such illiquid contracts are disabled for trading on www.icicidirect.com. The list of contracts is subject to modification by ICICIdirect from time to time.

. Can an enabled contract be disabled later ?

Yes, it is possible that ICICIdirect disables a contract that was enabled earlier. This could happen due to various reasons like the underlying is disabled as it reaches market wide open position limits, the contract has become illiquid or any other reason to safeguard the interest of investors.

. Can I square off my position once the contract is disabled?

Yes, you can square off your open positions using the square off link on the Open Positions page when the contract is disabled for trading.

. Can I modify my square off order placed in disabled contracts or Banned underlyings?

Yes. You may visit the online order book to modify details of your pending square off order under a disabled contract or banned underlying. Please note you will be able to modify the quantity downwards and upwards only upto the net open position considering the square off orders already placed for such position. Example
1) You have a position of 16000 quantity in IFCI which is under banned period and you have two pending square off orders of 8000 each. In this case you will be able to modify all the eligible details for the square off order placed provided quantity for the modified square off order does not exceed 16000 including already placed square off orders against this position. This would mean that quantity cannot be modified upward for either of the pending square off order until the other pending square off order is cancelled.
2) You have a position of 16000 quantity in IFCI which is under banned period and you have one pending square off order of 8000 quantity. You can modify all eligible details of this pending square off order and the quantity can be modified upwards only upto 16000 i.e. to the extent of net position quantity.

. Where can I view FuturePLUS contracts?

Only enabled contracts will be displayed for trading on the site when you select contracts either through the 'Place order' link or the Stock list page on www.icicidirect.com.

. How do I place a FuturePLUS Buy / Sell order?

In the "Place Order" page, you need to define the stock code and choose "FuturePLUS" available in the "Product" drop down box. On clicking on "Select contract", the whole list of contracts available for given stock code expiring in different months would be displayed. Depending on your interest, you can select one of the contracts by clicking on buy / sell link. It will take you to the buy / sell page. Here you may choose Fresh Order "With Normal Margin" radio button for placing normal FuturePLUS orders alternatively you may choose with Stop Loss Limit Margin option (click here to know FAQs on FuturePLUS with Stop Loss Limit Margin option). Values like, your E-Invest account no., exchange, contract details would be auto-populated. You need to define the required quantity, order type i.e. market or limit, order validity period i.e. day, limit price and stop loss trigger price if any.

. Can I short sell the shares in FuturesPLUS (i.e. sell shares which I do not hold in DP)?

Yes similar to Futures, you can short sell the shares in FuturesPLUS segment. There is no block on your holdings in the demat account.

. Can I buy in Futures and Sell the same contract in FuturePLUS? How will this be treated?

Yes. In this case the position gets squared off if you buy in Futures and Sell the same quantity in the same contract in FuturePLUS or vice versa. There is no difference between Future and FuturePLUS transactions for Exchange.But at ICICIdirect the two transactions would appear as open positions in Future Open Positions Page and FuturePLUS Open Positions page respectively.

. How do I differentiate between FuturePLUS orders and Futures Orders in the Order book?

There are different order books for Future and FuturePLUS orders respectively. The difference in these order books is the appearance of background colour in FuturePLUS order.

. How much margin will be blocked on placing a FuturePLUS 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 of the order, the same is suitably adjusted as per the actual execution price of the market order. The initial margin percentage can be checked from the "Stock List" link on the FNO trading page for all underlying securities enabled under FuturesPLUS. You can check the Margin obligations on your FuturesPLUS position from the "Know Your Margin" link on FNO trading page.

. Would SPAN margin be charged to customers mapped to SPAN margining for FuturPLUS orders?

No. FuturePLUS margining is independent and would work under normal scrip wise margining system instead of portfoilo based margining system. Same margins would be charged for FuturePLUS to SPAN as well as Non SPAN customers.

. Is the margin % uniform for all stocks?

. No. Margin percentage may differ from stock to stock based on the liquidity and volatility of the respective stock besides the general market conditions. Normally index futures would attract less margin than the stock futures due to being comparatively less volatile in nature. But all FuturesPLUS contracts within the same underlying would attract same margin %.

. 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. It may so happen that you have taken your position and 25% margin is taken for the same. But later on due to the increased volatility in the prices, the margin % is increased to 30%. In that scenario, you will have to allocate additional funds to continue with your open FuturePLUS position. Otherwise it may come in Intra Day Mark to Market (MTM) loop and squared off because of insufficient margin. It is advisable to keep higher allocation to safeguard the open position from such events.

. Is margin blocked on all FuturePLUS orders?

. No. Margin is blocked only on FuturePLUS orders, which result into increased risk exposure. For calculating the margin at order level, value of all buy orders and sell orders (in the same Contract) is arrived at. Margin is levied on the higher of two i.e. if buy orders value is higher than sell order value in the same contract, only buy orders will be margined and vice versa. In other words, margin is levied at the maximum marginable order value in the same contract for FuturesPLUS.

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

Contract Details

Buy Orders

Sell Orders

 

Qty

Rate

Order Value

Qty

Rate

Order Value

Fut - ACC- 26 Jun 2008

188

760

142880

     

Group Total(Highest order value to be margined)

188

 

142880

 

 

 

Fut - ACC- 31 Jul 2008

188 755 141940

188

763

143444

Group Total(Highest order value to be margined)

 

 

 

188

 

143444

As mentioned above, the higher of buy and sell order value in the same contract is margined. In the above given example, for ACC Jun contract Buy order value is greater since there is no sell order, hence Margin @ 10% would be levied on Rs.142880/-. For the ACC Jul 2008 contract sell order value is greater than buy order value. Hence margin would be levied at specified margin % of 10% on Rs. 143444

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

In such case, first the marginable buy/sell order quantity has to be arrived at. Marginable buy order qty is arrived at by deducting the open net sell position at contractlevel from the buy order quantity at contractlevel. Similarly marginable sell order qty is arrived at by deducting the open net buy position at contract level from the sell order quantity at contract level. Marginable buy / sell order value is then arrived at by multiplying the respective buy / sell order weighted average price with marginable buy / sell quantity. For order level margin, marginable buy order value and marginable sell order value would be compared and higher of two would be margined.
For example, if there was an open buy position of 188 shares in "Fut-ACC-31-Jul-2008".

Contract Details

Buy Orders

Sell Orders

 

Qty

Rate

Order Value

Qty

Rate

Order Value

Fut - ACC- 31 Jul 2008

188

755

141940

376 763 286888

Marginable buy and sell order quantity would be 188 and 188 respectively. Marginable buy and sell order value would be Rs. 141940 and Rs. 143444 respectively.

. How is the Initial margin (IM) on open position calculated?

The same margin % applicable for orders will be levied at position level also. Position level margin is arrived at by applying the IM% on the value of net open position. For example, you have open buy position in Fut - ACC- 26 Jun 2008 for 100 shares @ 150 and IM % for ACC is 25%. In that case, margin at position level would be 15000 * 25% = 3750/-.

. When do you release the margins blocked on FuturePLUS positions?

The margin is released after the FuturePLUS positions are squared off. The margin released is net off Margin blocked on Positions +/- Profit/Loss incurred on Square off.

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

Squaring off a position means closing out your FuturePLUS position. For example, if you have FuturePLUS buy position of 500 Reliance expiring on 26th June 2008, squaring off this position would mean taking sell position in 500 Reliance expiring on 26th June 2008. The order placed for squaring off an open position is called a cover order.

. How do I place a square off (Cover) order in FuturePLUS 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 for FuturePLUS product.

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

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

. Is there any impact on the limit, on execution of a buy/sell order in FuturePLUS?

If it is an execution of a fresh order (i.e. an order which would result into building up an open position), the margin blocked 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 it is an execution of a cover order (order which would result into square off of an existing open position), the following impact would be factored into the limits:


a) Release of margin blocked on the open position so squared up.
b) Effect of profit & loss on the square off of such a transaction.

. How is the profit and loss recognized on execution of square up (cover) orders?

Execution price of cover order is compared against the weighted average price at which the position was built up as shown in the "Open Positions for FuturePLUS" and profit/loss is calculated therefrom. For example, say you have a FuturePLUS position - 'Buy 200 Reliance Shares' in contract Futures - ACC- 26 Jun 2008 at an average price of Rs. 300 per share created through the execution of two orders - 'Buy 100 @ Rs. 310 per share' and 'Buy 100 @ Rs. 290 per share'. If you square off a part of the position by selling 50 Reliance Shares @ Rs. 305 per share, the profit on such square off would be calculated as: Quantity squared off * (Square off trade price - Weighted Average price of the position) 50 * (305 - 300) = 250
Profit or Loss for all your trading transactions can be checked from the "Portfolio Details" link on the FNO trading page for FuturePLUS product.

. How do I see my open positions in FuturePLUS?

You can view all open FuturePLUS positions by clicking on "Open Positions" and thereafter selecting "FuturePLUS" under the product dropdown. The FuturePLUS positions table gives details such as underlying, contract details, buy/sell position, open qty, cover order qty, base price, current market price, total margin blocked on the open position and order level margin at underlying-group level.

. What is meant by 'Convert to Future?

'Convert to Future' (CTF) is an added feature provided under FuturePLUS product where one can convert his existing position under a contract in FuturePLUS to Future position of the same contract within the stipulated time prescribed by I-Sec. You will find the link of 'Convert to Future' in open positions page against each position under a contract in the column of 'Actions'. Once you choose to convert the existing open position to Future, following remark will appear "You are requesting to convert FuturePLUS position to Future".

. Can I choose not to square off a FuturePLUS position on the same trading day?

FuturePLUS is an intraday product wherein any position taken needs to be squared off on the same trading day or Convert to Future (CTF) till the end of the day by the customer itself. If customer doesn't place square off or does CTF for his position by the end of the day before the stipulated time, then following possibilities may arise, viz:
1) ICICI Securities may run End of settlement Square off process which will square off the open FuturePLUS position generally 3:00 pm onwards on best effort basis.However, I-Sec reserves the right to change the square off timing , if required, especially during volatile days.
OR
2) The FuturePLUS position may be compulsorily converted to future position by the system at the end of the day.

. How do I convert my FuturePLUS position into a Future position?

You will find the link of 'Convert to Future' in the 'Actions' column of FuturePLUS open positions page against each position under a contract. Once you choose to convert the existing FuturePLUS open position to Future position, a remark will appear stating "You are requesting to convert FuturePLUS position to Future".

. Can I convert my position in Future into FuturePLUS Position?

Yes. You can convert your Future open position to FuturePLUS position.

. Can I convert part of the open position under a contract to Future position?

Yes. A part quantity out of the FuturePLUS position quantity under a contract can be converted to Futures position provided sufficient margin is available.

. Can I convert pending order / partly executed pending order from FuturePLUS to Futures order?

No. The orders placed in FuturePLUS cannot be converted to Futures orders. Only full open position under a contract is allowed to be converted from FuturePLUS to Future Position provided sufficient margin is available.

. How does 'Conversion to Future' impact limits?

When FuturePLUS position is converted to a Futures position, the additional margin amount is required as applicable for Futures positions. The additional margin to be blocked on conversion would be the difference of the required margin for Futures and the already blocked margin for FuturePLUS position. The limit would be accordingly reduced with the differential amount of margin requirement. On conversion of FuturePLUS position to Future position the condition of Available Margin(AM)* and Minimum Margin(MM)* for the proposed Future position would be checked before blocking the additional margin amount required as follows:

1. If AM>=MM,of proposed Future position then additional margin required will be,

Initial Margin % required for Future position on Base price i.e.weighted average price of existing FuturePLUS position - Blocked Margin for existing FuturePLUS position.

2. If AM<MM, of proposed Future position then additional margin required will be,

Initial Margin required for future position on Base price i.e.weighted average price of existing FuturePLUS position - Available Margin for existing FuturePLUS position.

    * Please refer below FAQs to know Available Margin and Minimum Margin

For both the above scenarios, if current limit is more than or equal to the additional margin required, only then you would be allowed to convert your existing FuturePLUS position to Future position.

For, example, consider the following scenario,
  
Particulars Contract Trade Flow Qty Base Price IM%
FuturePLUS FUT-RELIND-26-April-2012 Buy 250 1000 6.00%

Current limit available = Rs.50000/-

a) Margin blocked on taking Future PLUS position= 250*1000*6% = 15000.
    Current limit available after the position taken=50000-15000=35000
b) On Convert To Future, required Initial Margin for Futures = 250*1000*11% = 27500

1. If on conversion Available Margin is more than or equal to Minimum Margin for Future position.
    For the above mentioned scenario,in this case 1. CMP of the contract is considered as Rs.990 at the time of conversion

The calculations will be done for the proposed Future Position and following values will be checked:
    a. Required Initial Margin for proposed Futures position on Base Price = 250*1000*11% = 27500
    b. Required Minimum Margin for proposed Futures position = 250*1000*8% = 20000
    c. MTM Loss on existing FuturePLUS position = (990-1000)*250 = -2500
    d. Available Margin = 27500-2500 = 25000

In this case, Available Margin > Minimum Margin i.e. c > b,

Hence ,On "Convert to Future",
Additional Margin required = Initial Margin required for Future position - Blocked Margin for existing FuturePLUS position taken
= 27500 - 15000 (FuturePlus Margin Blocked)
= 12500 .
Thus, on "Convert to Future", Additional margin of Rs.12500 would be required. If current limit is not available to block the additional margin of Rs. 12500 then you will not be allowed to convert your FuturePLUS position to Futures position.

2. If on conversion Available Margin is less than Minimum Margin.

For the above mentioned scenario, in this case 2. CMP of the contract is considered as Rs.950 at the time of conversion

The calculations will be done for the proposed Future Position and following values will be checked::

    a. Required Initial Margin for proposed Futures position on Base price= 250*1000*11% = 27500
    b. Required Minimum Margin for proposed Futures position = 250*1000*8% = 20000
    c. MTM Loss = (950-1000)*250 = -12500
    d. Available Margin of proposed Future Position= 27500-12500 = 15000

In this case proposed Future Positions, Available Margin < Minimum Margin,

FuturePLUS Available Margin = 15000-12500 = 2500.

Hence ,On "Convert to Future",
Additional Margin required = Initial Margin required for Future position - Available Margin for existing FuturePLUS position.
= 27500 - 2500 (FuturePlus Available Margin)
= 25000

Thus, on "Convert to Future", Additional margin of Rs.25000 would be required. If current limit is not available to block the additional margin of Rs.25000 then you will not be allowed to convert your FuturePLUS position.

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

Once the available margin falls below the minimum margin, ICICIdirect may at its discretion 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 square off the positions if the available margin falls below the minimum margin.

. What is meant by Minimum Margin?

Minimum Margin is the margin amount, you need to keep available with us all the time for your FuturePLUS positions. Once the available margin with us goes below the minimum required minimum margin, ICICIdirect system would block additional margin required from the limit available.

. How do you calculate Minimum Margin for FuturePLUS?

Minimum Margin is calculated by taking MM % instead of IM% displayed on site for FuturePLUS.

. Would the Margin requirement of my existing position change at any time during the day?

Yes, the margin requirement of your existing position may undergo a change during the day after any time of position creation and this could be due to changes in exchange margins which are received multiple times during the day or I-Sec defined margins basis the internal risk policy. The additional margin required will be blocked from available limits in your account. Please note release of margins will be done as per existing process which will be done on squaring of position and after adjusting for the losses.

. How is the additional margin required calculated in case of margin changes during the day?

Below is the additional margin calculation process:

Assume you take a buy position for the fresh market order of 1000 quantity at current market price of 100/- The initial margin percentage (IM%) for the scrip is 20% (IM%).

Margin Blocked = [{Weighted average price of fresh order * Quantity * IM%}]

= [(100*1000*20%)]
= 20,000

Now suppose the initial margin percentage (IM%) for the scrip changes to 30%, basis change in margin requirement based on exchange file at any given point of time.

Additional margin required = New margin on Re computation - Margin Blocked
= [(100*1000*30%)]-20,000
= 10,000

In case of Sell position

Assume you take a sell position for the fresh market order of 1000 quantity at current market price of 100/- The initial margin percentage (IM%) for the scrip is 15% (IM%).

Margin Blocked = [{Weighted average price of fresh order * Quantity * IM%}

= [(100*1000*15%)]
= 15,000

Now suppose the initial margin percentage (IM%) for the scrip changes to 20%, basis change in margin requirement based on exchange file at any given point of time.

Additional margin required = New margin on Recomputation - Margin Blocked
= [(100*1000*20%)]-15000
= 5000

. What will happen in case I have insufficient limits? Would my open position be squared off in this case?

In case your limits are insufficient and there is additional margin requirement then the margin will be blocked till the available free limits. Please note, in case of insufficient limits, your position will not be squared off, however exchange would levy a short margin collection penalty which I-Sec shall recover from you.

. How do you calculate available margin?

Available margin is calculated by deducting MTM loss from margin blocked at position level.

.How do you calculate additional margin required for FuturePLUS positions when the available margin is below the minimum margin required?

In that case, margin required on executed position is re-calculated by taking CMP of respective FuturePLUS position(s) and the FuturePLUS IM % . Available margin as calculated above should now be compared with the required margin and amount for additional margin call is arrived at.
For example say you have bought 100 shares of Futures- ACC-26-Jun-2008 at Rs.150 and FuturePLUS IM is 20% and minimum margin is 10%. You would be having a margin of Rs.3000 blocked on this position. The current market price is now say Rs.130. This means the effective available margin Rs. 1000/- which is less than the minimum margin of Rs 1500/- and hence additional margin to be called in for. Additional margin to be calculated as follows:
(a) Margin available
Rs.3000
(b) Less : MTM Loss
(150-130)*100
Rs.2000
(c) Effective available margin
(a-b)
Rs.1000
(d) Minimum Margin
100*150*10%
Rs.1500
(e) Re-calculated margin
100*130*20%
Rs. 2600
a. Additional margin Call
(e-c)
Rs. 1600

. 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 squared off 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.


. 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 FuturePLUS position. However, before placing the square off order all pending FuturePLUS orders in that underlying-group (contracts having same underlying) 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 FuturePLUS orders in that underlying-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 of the near month contract in that underlying and group and see if limits are now sufficient to provide for additional required margin. If yes, block the additional margin, else go to step (3).
3. Square off in Lot size of the next month contract in that underlying and 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 and group is 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. 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.

. 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.

. Can I do anything to safeguard the positions from being squared off during the Intra-day MTM process?

Yes, you can always allocate additional margin, on any open position. Since the Intraday MTM 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 position. You can add margin to your position by clicking on "Add Margin" on the "Open Position - FuturesPLUS" page by specifying the margin amount to be allocated further. time you square off your position in that underlying.
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.

. What is the Trigger price displayed on Open Position page for FuturePLUS 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. However, you can continue to track your positions for intraday mark to market process on the basis of Available Margin and Minimum Margin accordingly you can allocate additional funds if Availabe Margin amount is displayed in red colour.
Trigger price is a price which indicates that your position may get squared off if LTP breaches the indicated trigger price.

. 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 Buy or Sell order in FuturePLUS product results into an executed trade and becomes an open position.

. Will Tigger Price be calculated for NON SPAN as well as SPAN based margining?

Trigger Price will be calculated for NON SPAN as well as SPAN based margining in Future PLUS product.

. How is the Trigger Price calculated for Future PLUS positions ?

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

Example: If you have Future PLUS buy position of 500 qty of Reliance at Rs 900 expiring on 26th December 2015 at IM of 11% and MM of 8%.
Trigger Price calculation for Future PLUS Buy Positions: WAP on Underlying level-(( Margin on Positions - ( WAP on Underlying Level * Open Pos Qty * Min margin percentage)))/ Open Position Quantity).
900-(49500-(900*500*8/100 ))/500) = 873

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

Example: If you have Future PLUS Sell position of 1600 qty of ITC Limited at Rs 355 expiring on 26th December 2015 at IM of 14% and MM of 10%.
Trigger Price calculation for Future PLUS Sell Positions: WAP on Underlying level+(( Margin on Positions - ( WAP on Underlying Level * Open Pos Qty * Min margin percentage)) )/ Open Position Quantity).
355+(79520-(355*1600*10/100 ))/1600) = 369.20

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.

. Will Trigger Price be recalculated on converting Futures positions to Future PLUS?

Yes. Trigger Price will be recalculated on converting Futures position to Future PLUS.

. 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 quantity in same contract, partial square off of existing position quantity, Add Margin.

. In case of profit on a FuturePLUS position or where the Available Margin is in excess of the Margin Required, can I reduce the margin against the position to increase my limit?

No, any release of margin in excess of required margin (in profitable position) is possible on square off your open position completely.

. Is there EOD MTM (End of Day - Mark To Market) process in case of FuturePLUS

No. FuturePLUS being an intra-day product (i.e. the positions are squared off on the same trading day) there is no requirement of EOD MTM. The FuturePLUS positions converted to futures will go through all Futures EOD processes including EOD MTM.

. Is there any "no-delivery period" concept in FuturePLUS?

Similar to Futures there is no "no-delivery period" concept in FuturePLUS. Even if stock is in no-delivery period, trading in futures will be as usual. There will not be any no-delivery period as it is in equity market

. Is it compulsory to square off the open FuturePLUS position within the same trading day?

Yes. It is compulsory to square off all your open FuturePLUS positions (net of what has already been converted to Future) within the same trading day.

. What is the stipulated time limit up to which the FuturePLUS positions need to be compulsorily squared off? What will happen if the FuturePLUS positions are not squared off within the stipulated time?

The stipulated time for compulsory square off will be displayed on the FuturePLUS open positions page of our site everyday. After the stipulated time, if your FuturePLUS positions remain open, the risk monitoring system will cancel all pending orders and square off the open FuturePLUS positions through the End of settlement Square off process on random basis anytime after the stipulated period on a best effort basis. The End of settlement Square off process would be run solely at the discretion of ISEC, we may also compulsorily convert FuturePLUS open position (if any) at the end of the day to Future positions and all the end of day obligations under Futures would be required to be fulfilled by you in cash for such converted positions.

. Can I do convert my FuturePLUS position to Future position instead of squaring up the position before the time limit expires?

Yes. You can do so at any time before the stipulated time limit.

. What happens if for some reason a FuturePLUS position remains open at the end of the day?

ICICIdirect's risk monitoring system would square off the positions but the onus lies on you to close out all open positions. If for some reason, the position remains open at the end of the day,it would be converted to futures and you will have to make all the necessary arrangements for funds for the daily settlement of the position and shall be fully liable for the consequences of the same.

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

Yes, In case the market wide open position for an underlying reaches a particular percentage specified by exchanges (NSE or BSE), the trading in that particular underlying is disabled by the exchanges. Accordingly ISEC would also disable the trading in that particular underlying during market hours. Further ISEC at it sole discretion may disable an underlying or any contract.

. 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 positions page.

. Can the FuturePLUS product be disabled?

Yes. ICICIdirect may disable the product depending upon the market conditions.

. Is there any hedging benefit between Futures and Options?

No. Currently ICICIdirect is not offering any hedging benefit between Futures and Options.

. Can I do Shares as Margin for FuturePLUS?

Yes. Shares as Margin facility is available for FuturePLUS. For more details you can refer FAQs on Shares as Margin.

. When do orders in Futures Plus get freezed?

Orders in Futures may get freezed at the exchange end. There are two types of Freeze orders specified by exchange:

  1. Price Freeze - In case of Stock Futures orders are freezed by exchange, if the price range specified is beyond ± 20% of base price i.e. previous days closing price. In case of Index Futures or Basket Futures orders are freezed by exchange, if the price range specified is beyond ± 10% of base price i.e. previous days closing price. However, the above price ranges may be changed depending upon the market volatility.

  2. Quantity Freeze - In case of Stock Futures the quantity for each stock is specified by exchange from time to time and single order value should not normally be beyond Rs. 4 Crores. In case of Index Futures the quantity should not be beyond 15000. For further details on the respective quantities for each stock please refer NSE site. http://nseindia.com/content/fo/qtyfreeze.xls

. Where can I see that my order is freezed?

The orders in F&O that get freezed appear with a blank status in the order book and the details of freeze can be seen in the order log by clicking on the order reference hyperlink.

. 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.

. What is Square Off all positions at Market?

Square Off all positions at Market feature will facilitate you to square off all open positions across all underlyings of a product at market with a few clicks. This link is available on open positions page for Future, FuturePLUS and Option products. There shall not be any pending order(s) in any of the contract of a product for using this feature. This feature cannot be used for selected positions and therefore you are advised to keep in mind the liquidity and impact cost in the open position contracts while using this feature. There can be huge differences between bid and offer prices in certain contracts due to less liquidity and squaring off those positions at market may fetch you unfavorable execution price.

4. Brokerage Charges

. What are brokerage charges for FuturePLUS?

The brokerage charge structure applicable for FuturePLUS is the same as prevailing for Futures.

. Is there any additional brokerage charged on FuturePLUS positions converted to Future?

No. The brokerage charge applicable would remain the same as it is in the case of Futures product.

Marginable buy and sell order quantity would be 188 and 188 respectively. Marginable buy and sell order value would be Rs. 141940 and Rs. 143444 respectively.

. How is the Initial margin (IM) on open position calculated?

The same margin % applicable for orders will be levied at position level also. Position level margin is arrived at by applying the IM% on the value of net open position. For example, you have open buy position in Fut - ACC- 26 Jun 2008 for 100 shares @ 150 and IM % for ACC is 25%. In that case, margin at position level would be 15000 * 25% = 3750/-.

. When do you release the margins blocked on FuturePLUS positions?

The margin is released after the FuturePLUS positions are squared off. The margin released is net off Margin blocked on Positions +/- Profit/Loss incurred on Square off.

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

Squaring off a position means closing out your FuturePLUS position. For example, if you have FuturePLUS buy position of 500 Reliance expiring on 26th June 2008, squaring off this position would mean taking sell position in 500 Reliance expiring on 26th June 2008. The order placed for squaring off an open position is called a cover order.

. How do I place a square off (Cover) order in FuturePLUS 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 for FuturePLUS product.

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

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

. Is there any impact on the limit, on execution of a buy/sell order in FuturePLUS?

If it is an execution of a fresh order (i.e. an order which would result into building up an open position), the margin blocked 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 it is an execution of a cover order (order which would result into square off of an existing open position), the following impact would be factored into the limits:


a) Release of margin blocked on the open position so squared up.
b) Effect of profit & loss on the square off of such a transaction.

. How is the profit and loss recognized on execution of square up (cover) orders?

Execution price of cover order is compared against the weighted average price at which the position was built up as shown in the "Open Positions for FuturePLUS" and profit/loss is calculated therefrom. For example, say you have a FuturePLUS position - 'Buy 200 Reliance Shares' in contract Futures - ACC- 26 Jun 2008 at an average price of Rs. 300 per share created through the execution of two orders - 'Buy 100 @ Rs. 310 per share' and 'Buy 100 @ Rs. 290 per share'. If you square off a part of the position by selling 50 Reliance Shares @ Rs. 305 per share, the profit on such square off would be calculated as: Quantity squared off * (Square off trade price - Weighted Average price of the position) 50 * (305 - 300) = 250
Profit or Loss for all your trading transactions can be checked from the "Portfolio Details" link on the FNO trading page for FuturePLUS product.

. How do I see my open positions in FuturePLUS?

You can view all open FuturePLUS positions by clicking on "Open Positions" and thereafter selecting "FuturePLUS" under the product dropdown. The FuturePLUS positions table gives details such as underlying, contract details, buy/sell position, open qty, cover order qty, base price, current market price, total margin blocked on the open position and order level margin at underlying-group level.

. What is meant by 'Convert to Future?

'Convert to Future' (CTF) is an added feature provided under FuturePLUS product where one can convert his existing position under a contract in FuturePLUS to Future position of the same contract within the stipulated time prescribed by I-Sec. You will find the link of 'Convert to Future' in open positions page against each position under a contract in the column of 'Actions'. Once you choose to convert the existing open position to Future, following remark will appear "You are requesting to convert FuturePLUS position to Future".

. Can I choose not to square off a FuturePLUS position on the same trading day?

FuturePLUS is an intraday product wherein any position taken needs to be squared off on the same trading day or Convert to Future (CTF) till the end of the day by the customer itself. If customer doesn't place square off or does CTF for his position by the end of the day before the stipulated time, then following possibilities may arise, viz:
1) ICICI Securities may run End of settlement Square off process which will square off the open FuturePLUS position generally 3:00 pm onwards on best effort basis.However, I-Sec reserves the right to change the square off timing , if required, especially during volatile days.
OR
2) The FuturePLUS position may be compulsorily converted to future position by the system at the end of the day.

. How do I convert my FuturePLUS position into a Future position?

You will find the link of 'Convert to Future' in the 'Actions' column of FuturePLUS open positions page against each position under a contract. Once you choose to convert the existing FuturePLUS open position to Future position, a remark will appear stating "You are requesting to convert FuturePLUS position to Future".

. Can I convert my position in Future into FuturePLUS Position?

Yes. You can convert your Future open position to FuturePLUS position.

. Can I convert part of the open position under a contract to Future position?

Yes. A part quantity out of the FuturePLUS position quantity under a contract can be converted to Futures position provided sufficient margin is available.

. Can I convert pending order / partly executed pending order from FuturePLUS to Futures order?

No. The orders placed in FuturePLUS cannot be converted to Futures orders. Only full open position under a contract is allowed to be converted from FuturePLUS to Future Position provided sufficient margin is available.

. How does 'Conversion to Future' impact limits?

When FuturePLUS position is converted to a Futures position, the additional margin amount is required as applicable for Futures positions. The additional margin to be blocked on conversion would be the difference of the required margin for Futures and the already blocked margin for FuturePLUS position. The limit would be accordingly reduced with the differential amount of margin requirement. On conversion of FuturePLUS position to Future position the condition of Available Margin(AM)* and Minimum Margin(MM)* for the proposed Future position would be checked before blocking the additional margin amount required as follows:

1. If AM>=MM,of proposed Future position then additional margin required will be,

Initial Margin % required for Future position on Base price i.e.weighted average price of existing FuturePLUS position - Blocked Margin for existing FuturePLUS position.

2. If AM<MM, of proposed Future position then additional margin required will be,

Initial Margin required for future position on Base price i.e.weighted average price of existing FuturePLUS position - Available Margin for existing FuturePLUS position.

    * Please refer below FAQs to know Available Margin and Minimum Margin

For both the above scenarios, if current limit is more than or equal to the additional margin required, only then you would be allowed to convert your existing FuturePLUS position to Future position.

For, example, consider the following scenario,
  
Particulars Contract Trade Flow Qty Base Price IM%
FuturePLUS FUT-RELIND-26-April-2012 Buy 250 1000 6.00%

Current limit available = Rs.50000/-

a) Margin blocked on taking Future PLUS position= 250*1000*6% = 15000.
    Current limit available after the position taken=50000-15000=35000
b) On Convert To Future, required Initial Margin for Futures = 250*1000*11% = 27500

1. If on conversion Available Margin is more than or equal to Minimum Margin for Future position.
    For the above mentioned scenario,in this case 1. CMP of the contract is considered as Rs.990 at the time of conversion

The calculations will be done for the proposed Future Position and following values will be checked:
    a. Required Initial Margin for proposed Futures position on Base Price = 250*1000*11% = 27500
    b. Required Minimum Margin for proposed Futures position = 250*1000*8% = 20000
    c. MTM Loss on existing FuturePLUS position = (990-1000)*250 = -2500
    d. Available Margin = 27500-2500 = 25000

In this case, Available Margin > Minimum Margin i.e. c > b,

Hence ,On "Convert to Future",
Additional Margin required = Initial Margin required for Future position - Blocked Margin for existing FuturePLUS position taken
= 27500 - 15000 (FuturePlus Margin Blocked)
= 12500 .
Thus, on "Convert to Future", Additional margin of Rs.12500 would be required. If current limit is not available to block the additional margin of Rs. 12500 then you will not be allowed to convert your FuturePLUS position to Futures position.

2. If on conversion Available Margin is less than Minimum Margin.

For the above mentioned scenario, in this case 2. CMP of the contract is considered as Rs.950 at the time of conversion

The calculations will be done for the proposed Future Position and following values will be checked::

    a. Required Initial Margin for proposed Futures position on Base price= 250*1000*11% = 27500
    b. Required Minimum Margin for proposed Futures position = 250*1000*8% = 20000
    c. MTM Loss = (950-1000)*250 = -12500
    d. Available Margin of proposed Future Position= 27500-12500 = 15000

In this case proposed Future Positions, Available Margin < Minimum Margin,

FuturePLUS Available Margin = 15000-12500 = 2500.

Hence ,On "Convert to Future",
Additional Margin required = Initial Margin required for Future position - Available Margin for existing FuturePLUS position.
= 27500 - 2500 (FuturePlus Available Margin)
= 25000

Thus, on "Convert to Future", Additional margin of Rs.25000 would be required. If current limit is not available to block the additional margin of Rs.25000 then you will not be allowed to convert your FuturePLUS position.
 

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

Once the available margin falls below the minimum margin, ICICIdirect may at its discretion 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 square off the positions if the available margin falls below the minimum margin.

. What is meant by Minimum Margin?

Minimum Margin is the margin amount, you need to keep available with us all the time for your FuturePLUS positions. Once the available margin with us goes below the minimum required minimum margin, ICICIdirect system would block additional margin required from the limit available.

. How do you calculate Minimum Margin for FuturePLUS?

Minimum Margin is calculated by taking MM % instead of IM% displayed on site for FuturePLUS.

. Would the Margin requirement of my existing position change at any time during the day?

Yes, the margin requirement of your existing position may undergo a change during the day after any time of position creation and this could be due to changes in exchange margins which are received multiple times during the day or I-Sec defined margins basis the internal risk policy. The additional margin required will be blocked from available limits in your account. Please note release of margins will be done as per existing process which will be done on squaring of position and after adjusting for the losses.

. How is the additional margin required calculated in case of margin changes during the day?

Below is the additional margin calculation process:

Assume you take a buy position for the fresh market order of 1000 quantity at current market price of 100/- The initial margin percentage (IM%) for the scrip is 20% (IM%).

Margin Blocked = [{Weighted average price of fresh order * Quantity * IM%}]

= [(100*1000*20%)]
= 20,000

Now suppose the initial margin percentage (IM%) for the scrip changes to 30%, basis change in margin requirement based on exchange file at any given point of time.

Additional margin required = New margin on Re computation - Margin Blocked
= [(100*1000*30%)]-20,000
= 10,000

In case of Sell position

Assume you take a sell position for the fresh market order of 1000 quantity at current market price of 100/- The initial margin percentage (IM%) for the scrip is 15% (IM%).

Margin Blocked = [{Weighted average price of fresh order * Quantity * IM%}

= [(100*1000*15%)]
= 15,000

Now suppose the initial margin percentage (IM%) for the scrip changes to 20%, basis change in margin requirement based on exchange file at any given point of time.

Additional margin required = New margin on Recomputation - Margin Blocked
= [(100*1000*20%)]-15000
= 5000

. What will happen in case I have insufficient limits? Would my open position be squared off in this case?

In case your limits are insufficient and there is additional margin requirement then the margin will be blocked till the available free limits. Please note, in case of insufficient limits, your position will not be squared off, however exchange would levy a short margin collection penalty which I-Sec shall recover from you.

. How do you calculate available margin?

Available margin is calculated by deducting MTM loss from margin blocked at position level.

.How do you calculate additional margin required for FuturePLUS positions when the available margin is below the minimum margin required?

In that case, margin required on executed position is re-calculated by taking CMP of respective FuturePLUS position(s) and the FuturePLUS IM % . Available margin as calculated above should now be compared with the required margin and amount for additional margin call is arrived at.
For example say you have bought 100 shares of Futures- ACC-26-Jun-2008 at Rs.150 and FuturePLUS IM is 20% and minimum margin is 10%. You would be having a margin of Rs.3000 blocked on this position. The current market price is now say Rs.130. This means the effective available margin Rs. 1000/- which is less than the minimum margin of Rs 1500/- and hence additional margin to be called in for. Additional margin to be calculated as follows:
(a) Margin available
Rs.3000
(b) Less : MTM Loss
(150-130)*100
Rs.2000
(c) Effective available margin
(a-b)
Rs.1000
(d) Minimum Margin
100*150*10%
Rs.1500
(e) Re-calculated margin
100*130*20%
Rs. 2600
a. Additional margin Call
(e-c)
Rs. 1600

. 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 FuturePLUS position. However, before placing the square off order all pending FuturePLUS orders in that underlying-group (contracts having same underlying) 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 FuturePLUS orders in that underlying-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 of the near month contract in that underlying and group and see if limits are now sufficient to provide for additional required margin. If yes, block the additional margin, else go to step (3).
3. Square off in Lot size of the next month contract in that underlying and 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 and group is 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. 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.

. 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.

. Can I do anything to safeguard the positions from being squared off during the Intra-day MTM process?

Yes, you can always allocate additional margin, on any open position. Since the Intraday MTM 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 position. You can add margin to your position by clicking on "Add Margin" on the "Open Position - FuturesPLUS" page by specifying the margin amount to be allocated further. time you square off your position in that underlying.

. In case of profit on a FuturePLUS position or where the Available Margin is in excess of the Margin Required, can I reduce the margin against the position to increase my limit?

No, any release of margin in excess of required margin (in profitable position) is possible on square off your open position completely.

. Is there EOD MTM (End of Day - Mark To Market) process in case of FuturePLUS

No. FuturePLUS being an intra-day product (i.e. the positions are squared off on the same trading day) there is no requirement of EOD MTM. The FuturePLUS positions converted to futures will go through all Futures EOD processes including EOD MTM.

. Is there any "no-delivery period" concept in FuturePLUS?

Similar to Futures there is no "no-delivery period" concept in FuturePLUS. Even if stock is in no-delivery period, trading in futures will be as usual. There will not be any no-delivery period as it is in equity market

. Is it compulsory to square off the open FuturePLUS position within the same trading day?

Yes. It is compulsory to square off all your open FuturePLUS positions (net of what has already been converted to Future) within the same trading day.

. What is the stipulated time limit up to which the FuturePLUS positions need to be compulsorily squared off? What will happen if the FuturePLUS positions are not squared off within the stipulated time?

The stipulated time for compulsory square off will be displayed on the FuturePLUS open positions page of our site everyday. After the stipulated time, if your FuturePLUS positions remain open, the risk monitoring system will cancel all pending orders and square off the open FuturePLUS positions through the End of settlement Square off process on random basis anytime after the stipulated period on a best effort basis. The End of settlement Square off process would be run solely at the discretion of ISEC, we may also compulsorily convert FuturePLUS open position (if any) at the end of the day to Future positions and all the end of day obligations under Futures would be required to be fulfilled by you in cash for such converted positions.

. Can I do convert my FuturePLUS position to Future position instead of squaring up the position before the time limit expires?

Yes. You can do so at any time before the stipulated time limit.

. What happens if for some reason a FuturePLUS position remains open at the end of the day?

ICICIdirect's risk monitoring system would square off the positions but the onus lies on you to close out all open positions. If for some reason, the position remains open at the end of the day,it would be converted to futures and you will have to make all the necessary arrangements for funds for the daily settlement of the position and shall be fully liable for the consequences of the same.

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

Yes, In case the market wide open position for an underlying reaches a particular percentage specified by NSE, the trading in that particular underlying is disabled by NSE. Accordingly ISEC would also disable the trading in that particular underlying during market hours. Further ISEC at it sole discretion may disable an underlying or any contract.

. 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 positions page.

. Can the FuturePLUS product be disabled?

Yes. ICICIdirect may disable the product depending upon the market conditions.

. Is there any hedging benefit between Futures and Options?

No. Currently ICICIdirect is not offering any hedging benefit between Futures and Options.

. Can I do Shares as Margin for FuturePLUS?

Yes. Shares as Margin facility is available for FuturePLUS. For more details you can refer FAQs on Shares as Margin.

. When do orders in Futures Plus get freezed?

Orders in Futures may get freezed at the exchange end. There are two types of Freeze orders specified by exchange:

  1. Price Freeze - In case of Stock Futures orders are freezed by exchange, if the price range specified is beyond ± 20% of base price i.e. previous days closing price. In case of Index Futures or Basket Futures orders are freezed by exchange, if the price range specified is beyond ± 10% of base price i.e. previous days closing price. However, the above price ranges may be changed depending upon the market volatility.

  2. Quantity Freeze - In case of Stock Futures the quantity for each stock is specified by exchange from time to time and single order value should not normally be beyond Rs. 4 Crores. In case of Index Futures the quantity should not be beyond 15000. For further details on the respective quantities for each stock please refer NSE site http://nseindia.com/content/fo/qtyfreeze.xls

. Where can I see that my order is freezed?

The orders in F&O that get freezed appear with a blank status in the order book and the details of freeze can be seen in the order log by clicking on the order reference hyperlink.

. 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.

4. Brokerage Charges

. What are brokerage charges for FuturePLUS?

The brokerage charge structure applicable for FuturePLUS is the same as prevailing for Futures.

. Is there any additional brokerage charged on FuturePLUS positions converted to Future?

No. The brokerage charge applicable would remain the same as it is in the case of Futures product.

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Trade Analysis      FAQ ( FUTURES )     FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      FAQ (OPTIONS)     FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)    FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)      FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX          FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

1. What is trade analysis and why is it required?

"Trade Analysis" is a Post Trade Tool available on our website for intraday traders to analyze their trade's compared to various price points of a stock/contract during the trading time frame on a particular trade date. Reviewing trades by professional traders is critical part of post-trade and allows traders to take the screenshot of the stock/contract chart after the trade is completed, plots Buy and Sell points, recapping the trade and tweaking the trade rules for the future with the learnings of every position taken and exited on a trade date.

2. Can I analyze my trades in all products?

With "Trade Analysis" you can now analyze your trades done in MarginPLUS, FuturePLUS Stop Loss and OptionPLUS products.

3. From where can I use this "Trade Analysis" feature on the site?

Please visit the Trade Book, under Action column a link named "Trade Analysis" will be available against the same day's trade only under the action Buy/Sell.

4. Is this available for all trade dates?

This link is available only on the same day against trades done on that date and is not available for previous trade dates.

5. Can this feature be used any time during the same trading day?

No. This feature being a post trade tool can be used only after market hours and for the same trade date.

6. How to use the Trade Analysis?

Trade Analysis can be used to analyze the impact on the closed positions Profit/Loss by choosing a base for comparison i.e. Fresh trade or Cover Trade. In case you choose Fresh as base to analyze then the chart will freeze the entry price point as per your trade price and help analyze the impact on your Profit/Loss by changing the exit price points on the chart just by moving the mouse anywhere during the time frame and you can view the possibility of making Profits assuming you had exited at that time and price point available on that trading date. Similarly, you can choose to keep Cover Trade as base in that case the chart will freeze the exit price as your Cover trade price and just by moving the mouse you can see the impact had your entry price point been different as per the available price ticks on the same trade date.

7. What are the benefits of using Trade Analysis?

The Trade Analysis feature helps traders in easily plotting on the chart and knowing the possibility of making Profits or curtailing Losses on their closed position during the day had the trader chosen a different entry or exit price point available at a different time during the trading session. Also to support their analysis, key market data like Open, Close, High and Low Prices related to their position in that stock/contract is all made available on the same screen along with the intraday price chart.

8. Can customer compare any side of the trade, Fresh or Cover, to see the P/L he could have made on his position on that day?

Yes. Customer can compare any side of the trade Fresh or Cover to see the Profit/Loss he could have made on his position on that day by selecting the Fresh or Cover options available on charts.

9. Can Trade analysis be done for Buy and Sell trades?

Yes. Trade analysis can be done for Buy as well Sell trades.

10. Does the Profit/Loss displayed under Trade analysis consider Brokerage and other charges ?

No. Profit/Loss displayed under Trade analysis does not consider Brokerage and other charges. Trade analysis is purely based on your Trade price.

11. What can be viewed for a trade with Trade Analysis - Only Profits, Only Losses or Both?

Both Profit as well as Loss at different price points can be viewed for the trades with Trade Analysis


FAQ (OPTIONS)      FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      Trade Analysis      FAQ (OptionsPLUS)     FAQ (FuturePLUS Normal Margin)      FAQ (FuturePLUS Stop Loss with Profit Order)     FAQ (SHARES AS MARGIN)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)     FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX     FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What is Options Trading at ICICIDirect.com?

As a customer of ICICIdirect now, you can trade on index and stock options on NSE and index options on BSE as well. It comes with a comprehensive tracking cum risk management solution to give you enhanced leveraging on your trading limits.

In options trading, you take buy/sell positions in index or stock(s) contracts expiring in different months with various Strike Price. If, during the course of the contract life, the price moves in your favour, you make a profit. In case the price movement is adverse, you incur a loss. To take the buy/sell position on index/stock 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.

. 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.

. 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.

. What is a strike Price?

It is the Price at which the underlying Asset is Agreed to be Bought or sold.

. What is a premium?

Premium is the downpayment the Buyer of Call or Put is required to make for entering the options agreement.

. 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 index and stock options are European in nature.

. 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.

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

ICICIdirect offers its customers execution capability on both the exchanges i.e., National Stock Exchange of India Ltd. (NSE) and Bombay Stock Exchange (BSE).

. 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 an unlimited profit and Limited downside. The Seller of a Futures has an Unlimited loss or profit potential but the seller of an option has a Limited profit but Unlimited Downside.

. How is Options Contract Defined?

An European Put ACC Options expiring on 30 May 2002 with a strike price of 150 is described as OPT-ACC-30-May-2002-150-PE.

OPT denotes Option, ACC is the underlying, 30 may 2002 is the expiry date of the contract, 150 is the strike price and PE denotes it is an European Put option.

C would denote Call and E would denote European and CE would denote it is an European Call Option. Currently, in India index and stock options are European in nature.

. Which contracts under an underlying are enabled for Options trading? Why is the contract list restricted to specific contracts only under various underlyings?

ICICIdirect enables selected contracts under various underlyings for trading in the Options segment. Only those contracts, which meet the criteria on liquidity and volume are considered for Options trading. This is required as there may be a risk of lower liquidity in some contracts as compared to active contracts. As a result, your order may only be partially executed, or may be executed with relatively greater price difference or may not be executed at all. Thereby to safeguard your interest such illiquid contracts are disabled for trading on www.icicidirect.com. The list of contracts is subject to modification by ICICIdirect from time to time.

. Can an enabled contract be disabled later ?

Yes, it is possible that ICICIdirect disables a contract that was enabled earlier. This could happen due to various reasons like the underlying is disabled as it reaches market wide open position limits, the contract has become illiquid or any other reason to safeguard the interest of investors.

. Can I square off my position once the contract is disabled?

Yes, you can square off your open positions using the square off link on the Open Positions page when the contract is disabled for trading.


. Can I modify my square off order placed in disabled contracts or Banned underlyings?

Yes. You may visit the online order book to modify details of your pending square off order under a disabled contract or banned underlying. Please note you will be able to modify the quantity downwards and upwards only upto the net open position considering the square off orders already placed for such position. Example
1) You have a position of 16000 quantity in IFCI which is under banned period and you have two pending square off orders of 8000 each. In this case you will be able to modify all the eligible details for the square off order placed provided quantity for the modified square off order does not exceed 16000 including already placed square off orders against this position. This would mean that quantity cannot be modified upward for either of the pending square off order until the other pending square off order is cancelled.
2) You have a position of 16000 quantity in IFCI which is under banned period and you have one pending square off order of 8000 quantity. You can modify all eligible details of this pending square off order and the quantity can be modified upwards only upto 16000 i.e. to the extent of net position quantity.

. Where can I view Options contracts?

Only enabled contracts will be displayed for trading on the site when you select contracts either through the 'Place order' link or the Stock list page on www.icicidirect.com.

. Would Different Margin percentage be applicable to Different underlying Stocks?

Yes, ICICIdirect.com would levy different margin percentages depending on the Stock and market volatility on different stocks as it feels is necessary for Risk mitigation.

Thus all ACC stock option contracts may require a margin amount in the range of say Rs. 30000 to Rs. 35000 per lot, whereas all BHEL option contracts may require a margin amount in the range of say Rs. 25000 to Rs. 30000 per lot.

Please note - Exchange has identified option contracts in either Deep Out of The Money (OTM) or Non Deep OTM for which Exchange has stipulated separate extreme loss margin percentage . Hence accordingly for Deep OTM or Non Deep OTM option contracts Initial Margin percentage and Minimum Margin percentage would be revised accordingly.

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

Yes, margin amount can be changed during the life of the contract depending on the volatility in the market. It may so happen that you have taken your position and Rs. 25000 margin is taken for the same. But later on due to the increased volatility in the prices, the margin amount is increased to Rs.30000. In that scenario, you will have to allocate additional funds to continue with your open position.

. How is margin (premium) calculated on Buy orders in Option?

Buy orders irrespective of whether it is a Call or a Put, is margined only to the extent of the Premium payable on the order. For e.g. If you place a Buy order in OPT-ACC-30-May-2002-150-PE for 1500 quantity at a Limit price of 20 would attract margin of Quantity * Price at Rs 30,000/-.

. How is margin (premium) calculated on Buy Market orders in Option Contracts?

Buy orders irrespective of whether it is a Call or a Put, is margined only to the extent of the Premium payable on the order. In case of market order, I-Sec system blocks margin on the basis of Best five BID and ASK order prices available in the exchange. However the BID and ASK prices are subject to change anytime and hence there can be difference in the price prevailing in the exchange at the time of order placement and the price at which order gets executed. For e.g. If you place a Buy Market order in OPT-ACC-30-May-2002-150-PE for 1500 quantity and likely execution rate based on ASK prices available in market at that point of time is Rs 20, then margin will be blocked at order placement would be Rs 30000 (1500 * Rs. 20). However, since ASK and BID prices are subject to change anytime, hence the execution of the order may happen at different price (say Rs. 22). Post execution, system would re-block differential margin based on actual execution price. If the differential margin based on actual execution price is not available in the limit allocation, then limit will become negative to that extent. In above example margin would be Rs 33,000 (1500*Rs 22). If sufficient free limit is not available in limit allocation then F&O limit will be negative to the tune of Rs. 3000.

. Will there be any impact on the limits in case of both NSE and BSE facility?

Please note, limits will be common for both NSE and BSE at client level for F&O segment.

. What happens in case my F&O Limit goes negative due to placing Option Buy order at Market price or for any other reason?

I-Sec system has internal process to handle negative limit of clients. In any case if client limit has gone negative in F&O segment, then system will first cancel the pending fresh orders if any and will appropriate the margin released from that cancellation towards the negative limit, if limit still remain negative, then, system will proportionately withdraw margin from other marginable open position in F&O segment, if any, and that F&O position may get square off in system MTM process. Margin release in this process will get appropriate towards negative limit. If limit still remains negative, then system will square off required quantity of Option Buy position, if any, as recovery towards negative limit. Such process will be triggered at periodic time interval during market hours.

. How is Margin calculated on Sell orders in option?

Since the seller of the option is exposed to a higher risk than the buyer of an option, the margin amount is required to be kept slightly different as compared to Buy orders. The margin amount required would be calculated considering the short option orders for the underlying portfolio. ICICI direct would specify a Margin amount as it feels is commensurate with the volatility and the current position of the Stock or the Index. You can check the margin amount required on your underlying portfolio by visiting the "Margin Calculator" under F&O section of the trading page on www.icicidirect.com

. Would the Premium to be received be considered for Marginable sell orders?

No, Premium benefit will not be given at the time of placing Marginable sell orders. However, option buy order can be placed using the premium amount received post selling the option. Once the order is executed the benefit of the Premium is provided in the limits and the Premium is now a crystallized entry for which you would get the Payout on the Indicated payout date.

. Is separate Margin Blocked for Buy and sell Orders?

No, margin is blocked on the entire underlying portfolio (including futures and options pending orders and open positions) depending on whether the new order entered, would attract higher Margin on the underlying portfolio.

. Is margin blocked on all Options Orders?

No. Margin is blocked only on orders, which result in an Increased Risk exposure. Margin is not recovered from an order, which is cover in nature. However in case of buy cover order where the premium exceeds the margin blocked, extra margin is required for placing the order. Also if a cover order can result in removal of hedge of any existing position then extra margin would be levied as such cover orders would increase the risk exposure of the underlying portfolio.

. What happens if buy or sell orders are placed when there is some open position also in the same contract?

In both cases buy and Sell, the underlying portfolio level margin is calculated and depending on the worst case probable portfolio considering the orders, margin amount would be arrived at underlying portfolio level.

. 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. It is advisable to place cover order from open positions page through the square off link since the open quantity is available and you are aware of the quantity for which you are placing the square off.

. How does the profit and loss recognized on execution of square up (cover) orders?

In case of Options the cover order Buy or sell though Reduces the Open position or closes out Open position accordingly, both the orders are treated separately.

. Can I Exercise My Buy (Call/Put) Option?

No you cannot exercise your Buy options since currently in India all Index and Stock options are European in nature.

In case of European Options the contracts can be exercised only on the last day of the contract expiry. All In the Money European contracts will be automatically exercised by the exchange on the last day of contract expiry, hence there will be no additional option for exercising on www.icicidirect.com .

In case of an American option you can place an exercise request upto the Open (Call/Put) buy position anytime except on the Last date of the contract expiry.

. Is there a specific time when I can place my exercise request?

Currently, in India all Index and Stock options are European in nature thereby you don't have the option to place exercise but they will be auto exercised on the expiry date if they are In-the-Money.

. What is the Effect of Exercise?

The profit on exercise is reflected in the Cash Projections and is added to the Limits. The realized profit on the contract is also reflected in the Portfolio page.

. How is Profit calculated on Exercise?

In case of Exercise, the profit is calculated as the difference between the Exercise Settlement price of the Underlying shares in the cash market and the Strike price of the contract. This is then multiplied by the exercised quantity and reduced by the applicable charges, statutory levies and taxes.

. Is exercise quantity considered for Margin calculation?

No. Currently, all option contracts are European in nature and expire on the last day of expiry. Thereby, exercise will take place on last day of expiry and such expired contracts will not be considered for margining after they are closed out.

. Is part exercise possible by the exchange?

No, only full quantity will be exercised by exchange.

. What is assignment?

In case you have a Sell position, you may be assigned the contract i.e. you will have to Buy the Underlying in case of Put and sell the Underlying in case of Call. However since options are currently cash settled you would have to pay or receive the Money.

. How do I know I have been assigned?

The Assignment book will reflect the assigned quantity in the contract; the Limits page will also accordingly reflect the Payin dates on which the assignment obligation is payable.

. Do I have any control over Assignment?

No, You have no control over Assignment since it is initiated by the exchange.

The Assignment process is completely decided by the exchange.

. Is there a Daily EOD MTM just like Futures?

No, there is no daily EOD MTM in case of options like in case of futures.

. Is intra day MTM done in case of options?

Yes, intra day MTM is done for the entire underlying portfolio including Long / Short Futures and Short option positions. ICICI Securities may at its discretion also square off long Option contracts in those cases where your limits have become negative even after squaring off all long/short Futures and short Option positions.

. What is the Basis of MTM in case of Sell options and what happens in the MTM process?

Intra day MTM process is the same for entire underlying portfolio including Futures and Short options. It is the same as discussed above under Futures section as it is done at portfolio level and not separately for Futures and Options.

. What is the Trigger price displayed on Open Position page for Option 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 Underlying price. 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 red colour. 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 Underlying price breaches the indicated trigger price.

. 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 Options open positions in scenarios where there is Option Buy position, 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. However, in case of Option Buy Position Trigger price column will be displayed blank.

. How is the Trigger Price calculated for Sell Call positions?

As soon as you place a Sell call order, which results in a position, a Trigger price is calculated (as per the formula given below) which is displayed in the Open positions book. This Trigger Price is just for tracking the positions and would be an indicative that whenever the Underlying price of the shares goes above the Trigger price in case of Sell Call, the Contract may likely to come in the MTM loop. 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. Trigger Price for Sell Call position = Previous day Close + ((Blocked Margin - Minimum Margin)/ Open Position Quantity).

For Example: You have a sell position in OPT-ACC-26-Nov-2020-150-CE @ 500 qty. Current Market price of ACC is 140, previous day Closing Price is 135, Blocked Margin is Rs.138000 and Minimum Margin is Rs.124000

Trigger Price for Sell Call Position = 135 + {(138000-124000)/500} = Rs.163

Please note - Exchange has identified option contracts in either Deep Out of The Money (OTM) or Non Deep OTM for which Exchange has stipulated separate extreme loss margin percentage. Hence accordingly for Deep OTM or Non Deep OTM option contracts Initial Margin percentage and Minimum Margin percentage would be revised accordingly.

When the ACC price would rise above 163, the sell position in OPT-ACC-26-Nov-2020-150-CE may likely to be in the MTM Loop.

. How is the Trigger Price calculated for SPAN Sell Put positions?

As soon as you place a Sell Put order, which results in a position, a Trigger price is calculated (as per the formula given below) which is displayed in the Open positions book. This Trigger Price is just for tracking the positions and would be an indicative that whenever the Underlying price of the shares goes below the Trigger price in case of Sell Put, the Contract may likely to come in the MTM loop. 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.

Trigger Price for Sell Put position = Previous day Close + ((Blocked Margin - Minimum Margin)/ Open Position Quantity). For Example: You have a sell position in OPT-ACC-26-Nov-2020-250-PE @ 500 qty. Current Market price of ACC is 240, previous day Closing Price is 235, Blocked Margin is Rs.151000 and Minimum Margin is Rs.139000

Trigger Price for Sell Call Position = 235 + {(151000-139000)/500} = Rs.259 Please note - Exchange has identified option contracts in either Deep Out of The Money (OTM) or Non Deep OTM for which Exchange has stipulated separate extreme loss margin percentage . Hence accordingly for Deep OTM or Non Deep OTM option contracts Initial Margin percentage and Minimum Margin percentage would be revised accordingly.

When the ACC price would rise above 259 the sell position in OPT-ACC-26-Nov-2020-250-PE may likely to be in the MTM Loop.

. 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. 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.

. What happens if I do not square off the transaction till the last day?

All positions which are not exercised or assigned will be marked as closed off and the position will not appear in the open positions page. The closed off entry will appear on the Portfolio Details page as Close out..

. How is brokerage calculated in case of options?

Brokerage in options is calculated on per lot/contract basis. Please refer Fee schedule on Customer Service page for more details

Settlement Obligation

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

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

. 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 in case of Stock / Index

T+1

Assignment Loss in case of Stock / Index

T

Brokerage

T

. 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.

. 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.

. 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.

. What is meant by 2L and 3L order placement?

2L and 3L order placement allow you to place more than one order in one go. You can also place a combination of Futures and options orders using 2L and 3L orders Placement. Maximum 3 orders can be placed in one attempt. All orders placed through this system are IOC orders. All orders must satisfy the risk criteria on individual basis. If any of the order fails in risk validation, none of the order will be accepted by the system. Currently this facility will not be provided for BSE F&O contracts.

Orders can be placed in the same underlying contract or different underlying contracts as well.2L & 3L orders can be placed from the following path under the trading section of the website: F&O > My Favourites > 2L/3L tick box. The execution of orders takes place in the same ratio in which the order was placed. It can be understood by the following example.

Contract

Minimum Lot

Order Flow

Order Qty

Available Qty

OPT-ACC-30-May-2002-150-CE

1500

Buy

3000

3000

Fut-ACC-28 Feb 2002

200

Buy

400

200

Orders in Fut-ACC-28 Feb 2002 and OPT-ACC-30-May-2002-150-CE have been placed in 3000: 400 or 15: 2 ratio. Execution will take place only if the same ratio can be maintained on execution also. In the above example, available quantities are not sufficient to maintain the ratio. Hence both the orders will be cancelled by the exchange.

If order qty for OPT-ACC-30-May-2002-150-CE is 1500 instead of 3000 and order qty for Fut-ACC-28 Feb 2002 is 200 instead of 400 , execution will take place for 1500 OPT-ACC-30-May-2002-150-CE and 200 Fut-ACC-28 Feb 2002. There will be no balance quantity for cancellation by exchange in this case.

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

Yes, In case the market wide open position for an underlying reaches a particular percentage specified by exchange, the trading in that particular underlying is disabled by exchange. Accordingly ISEC would also disable the trading in that particular underlying during market hours.

. 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.

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

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

. 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 Stock Options single order value should not be beyond Rs. 5 Crores and the quantity for each stock is specified by exchange from time to time. In case of Index Options the quantity should not be beyond 15000. For further details on the respective quantities for each stock please refer NSE site http://nseindia.com/content/fo/qtyfreeze.xls

. Where can I see that my order is freezed?

The orders in F&O that get freezed appear with a blank status in the order book and the details of freeze can be seen in the order log by clicking on the order reference hyperlink.

. 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.

. Is there any hedging benefit between options?

Yes there will be hedging benefit in the form of reduced margins within offsetting Options positions within an underlying portfolio and also between Futures and Options offsetting positions within an underlying portfolio 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. Thereby, you are advised to monitor all the open positions and especially monitor at the time of square off if a hedged position results into naked position. In such case you are required to allocate sufficient margin amount in advance before placing the square off order for one leg of the hedged position to prevent the other leg (which will become naked if square off order gets executed) from being square off by I-Sec due to insufficient margins on execution of your square off order for one leg of the hedged position.

. Will hedging strategy work between NSE and BSE?

No, hedge benefit will only be given at underlying level on the same exchange. For ex. If you are taking future and options positions of same underlying on NSE or BSE exchange then only you will hedge benefit.

. What is Square Off all positions at Market?

Square Off all positions at Market feature will facilitate you to square off all open positions across all underlyings in F&O at market with a few clicks. This link is available on open positions page for Future, FuturePLUS and Option products. In case of SPAN since there is a common open position page for Future and Option, hence this feature will square off all open positions at market of both future and option together. There shall not be any pending order(s) in any of the contract of a product for using this feature. This feature cannot be used for selected positions and therefore you are advised to keep in mind the liquidity and impact cost in the open position contracts. There can be huge differences between bid and offer prices in certain contracts due to less liquidity and squaring off those positions at market may fetch you unfavorable execution price.


. Why I am unable to place market order's in options contract?

The contract might be disabled for market order's as it failed to meet internal liquidity criteria as decided by considering exchange circular on Pre-trade risk controls for Options segment. However, you can place limit order.


. Will I be able to place square off orders for my position in illiquid contracts?

Yes, you will be able to place limit square off orders for your position in illiquid contracts, but not at Market. Market orders will be allowed once internal liquidity criteria is satisfied. However, system orders will continue to get placed at market price as per existing practice.


. What are the criteria for defining illiquid contracts? How will I come to know whether a contract is illiquid?

The criteria are defined internally by ICICI Securities Risk Management Team on the basis of liquidity in a contract. If you place a market order in illiquid contracts, you will get a business message as "This contract is disabled for Market orders, request you to place limit order."

For example,

If the minimum criteria for Nifty Options is set as - 10 lots(Volume) traded for the day (Previous day's volume is considered while market opening).
Nifty has below contracts active:
Nifty-25-NOV-21-18000-CE with Volume - 12 lots traded
Nifty-25-NOV-21-18000-PE with Volume - 8 lots traded

Then market order will be enabled for Nifty-25NOV21-18000-CE however market order will be disabled for Nifty-25NOV21-18000-PE.

Above example is for understanding purpose and does not represent actual criteria set by ICICI Securities.


. Will I be able to place market orders in a contract once it becomes liquid?

Yes, you will be able to place market orders in a contract once it meets the internal liquidity criteria.



FAQ (OptionsPLUS)     FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      Trade Analysis      FAQ (OPTIONS)     FAQ (FuturePLUS Normal Margin)      FAQ (FuturePLUS Stop Loss with Profit Order)     FAQ (SHARES AS MARGIN)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)     FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX     FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What is OptionPLUS?

OptionPLUS is an intraday 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.

. 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 OptionPLUS 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 OptionPLUS product.

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

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

. In which Exchanges shall I be able to place orders in OptionPLUS?

Presently, OptionPLUS facility is available only in NSE.

. Can I place OptionPLUS orders in all underlyings?

Only select underlyings have been enabled for trading under the OptionsPLUS product which meet the internal criteria on liquidity and volumes.

. Can I place OptionPLUS orders in all contracts?

Only select contracts under selected underlyings have been enabled for trading under the OptionPLUS 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 OptionPLUS 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 OptionPLUS orders?

You can place orders in OptionPLUS product by visiting the existing 'Place Order' link with product type as 'OptionPLUS' under the F&O trading section.

. What is a Cover Stop Loss order?

A Cover Stop loss order allows you to place an order which is sent to the Exchange along with fresh order but gets activated and is triggered only when the market price of the relevant contract 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) Option Call position in underlying NIFTY which is trading at a LTP of Rs 300/- with strike price of Rs 6000 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.350/- and a limit price of Rs. 360/-. 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 NIFTY call with strike price of Rs 6000 touches or crosses the SLTP i.e. Rs. 350/-, the order gets converted to a limit buy order at Rs. 360/-.

Cover Stop Loss Sell Order

'A' takes a long (buy) Option Put position in underlying NIFTY which is trading at a LTP of Rs. 20/- with strike price of Rs 6000 in expectation that the contract 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. 15/- and a limit price of Rs. 10/-. 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. 15/-, the order gets converted into a limit sell order at Rs. 10/-.

Important note:

Please note that in a fresh buy order, the SLTP should be a price lower than the buy limit price (in case of fresh buy limit order) and less than the last traded price ( in case of both market and limit order). A 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 a 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. Option Type
  2. Stock Code
  3. Contract Details
  4. Action (Buy/Sell)
  5. Quantity
  6. Order Type - Market/Limit
  7. Limit Price (if order type selected as Limit)

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

Yes, it is mandatory that both the fresh and cover orders under OptionPLUS product be placed together.

. Should the quantity of fresh and cover SLTP order be the same?

Yes, the quantity 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
  5. Order Type - Limit
  6. Stop Loss Trigger Price
  7. Limit Price

The first 5 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 margin requirement for the stock between the Limit Price compared to the Stop Loss Trigger Price (SLTP). Please visit the Stock list page of OptionPLUS product to see details on the margin requirement for your respective transaction.

. Can I cancel the Fresh and cover SLTP order?

Yes. You can cancel both the orders simultaneously provided they both remain unexecuted. If any of the two orders gets execution then you shall not be allowed to cancel any of them.

. Can I cancel only Fresh order?

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

. 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 of 1000 quantity at current market price of 100/-. Simultaneously, you also place the sell (cover SLTP) order of 1000 quantity at Limit price 90/- and SLTP 95/-. The above trigger condition is defined with a view to curtail losses. If subsequently the current market price shoots up to 110/-. You can modify the order as below Limit price 103/- SLTP 108/- (i.e. SLTP can be placed upto 110) or alternatively you can modify the order to market and book profits.

. What is Reorder functionality in OptionPlus?

Reorder functionality will help you in quickly recreating similar OptionPlus orders using the details of the previously placed orders. Please note, default quantity displayed at the time of placing reorder against your OptionPlus orders/open position will be the quantity entered at the time of original order placement. However, if you wish to change the quantity or use Quantity Calculator feature then you may please edit your order before placing.

. 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. 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.

Assuming that you want to place a buy order for 5000 quantity @ 100, and the first 5 offer quantity available for the buy order are as under:

Offer Qty. Offer Price
1500 96
1000 97
500 97.5
500 98
100 98.5


In the above scenario, the first 5 Offer quantity available is 3600 and since the buy order quantity placed is 5000 which exceeds the best 5 offer quantity, it would be rejected by the system. Similar would be the case for Sell order, wherein if the total sell quantity is greater than the sum of first 5 Bid quantity available then it would be rejected. The maximum order quantity to be placed should be equal to or less than first 5 bid/offer quantity available at that point of time.

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

For fresh market orders, the price would be calculated based on the weighted average price of the best 5 bids and offers available 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 600.

Best 5 bids Best 5 offers
Qty. Price Qty. Price
150 8 150 11
150 5.5 150 11.5
300 5 300 12
0 0 150 13
0 0 0 0


Calculation of Buy price

Qty Price Value
150 11 1,650
150 11.5 1,725
300 12 3,600
600 - 6,975


Weighted average price would be 11.63 = (6,975/600) 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.

. What is the margin required on placement of OptionPLUS order?

Margin required for placement of OptionPLUS order is as follows:

I) Fresh Buy: Margin in case of OptionPLUS fresh Buy order will be higher of two margins stated below or Option Premium:

  • Maximum possible loss that you may incur considering difference between Fresh order price and cover order price plus an additional margin calculated at the Flat rate value specified, if any, for the underlying
  • Margin computed as per Buy Multiplier% specified for the underlying under this product

Formula:

Fresh Buy Market order: Min (Max [{((Weighted average price of fresh order - limit price of cover SLTP order) * Quantity) + (Option PLUS flat rate Value * Quantity)}, {Buy Multiplier% * Premium value}], Premium value)

Fresh Buy Limit Order: Min (Max [{((Limit price of fresh order - Limit price of cover SLTP order) * Quantity) + (Option PLUS flat rate Value * Quantity)}, {Buy Multiplier% * Premium value}], Premium Value)

II) Fresh Sell: Margin in case of OptionPLUS fresh Sell will be higher of two margins stated below:
  • Maximum possible loss that you may incur considering difference between Fresh order price and cover order price plus an additional margin calculated at the Flat rate value specified, if any, for the underlying
  • Margin computed as per Sell Multiplier% specified for the underlying under this product

Formula:

Fresh Sell Market Order: Max [{((Limit price of cover SLTP order - Weighted average price of fresh order) * Quantity) + (Option PLUS flat rate Value * Quantity)}, {Sell Multiplier% * (ISec required margin basis exchange margin)}]

Fresh Sell Limit Order: Max [{((Limit price of cover SLTP order - Limit price of fresh order) * Quantity) + (Option PLUS flat rate Value * Quantity), {Sell Multiplier% * (ISec required margin basis exchange margin)}]

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

Example 1 - Fresh Buy Market Order:

Assume you take a buy position for the fresh market order of 1000 quantity at current market price of 100/-. Simultaneously you also place the Sell (cover SLTP order) of 1000 quantity as Limit price 90/- and SLTP 95/-. OptionPLUS flat rate value is 100 and Buy Multiplier % is 25%

Min (Max [{(100-90) *1000} + {100*1000}, {25%* 100000}], (100000)
=Min (Max [{110000}, {25000}], (100000)
=Min (110000, 100000)
=Rs. 100000

Example 2- Fresh Buy Limit Order:

In the above example if you place a fresh buy limit order at 99, OptionPLUS flat rate 100 and Buy Multiplier % is 25% the margin amount would be blocked as

Min (Max [{(99-90) *1000} + {100*1000}, {25%* 99000}], (99000)
=Min (Max [{109000}, {24750}], (99000)
=Min (109000, 99000)
=Rs. 99000

Example 3- Fresh Sell Limit Order:

Assume you take a sell position in Nifty bank, lot size is 25 (spot rate 25803) for the fresh market order of 1000 quantity at current market price of 100/-. Simultaneously you also place the buy (cover SLTP order) of 1000 quantity as Limit price 105/- and SLTP 102/-. OptionPLUS flat rate value is 100, Sell Multiplier is 25%

Span & exposure margin value as required by Isec basis exchange margin would be required for computation of margin basis Sell Multiplier% as per formula mentioned above. In this example SPAN per lot is considered as 116516 and exposure margin is considered as 1032120. Please note, these values may vary for different underlying contracts as required by Isec basis exchange margin.

=Max[{(105-100)*1000+{100*1000},{(25%*((116516*1000)/25)+1032120)}
=Max(147200,1423190)
= Rs. 1423190

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

Yes, at the time of order placement the Limit 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 Buy Multiplier% is 25%%, if you modify limit price to 98,modify the SLTP to 96/- and limit price to 92/-.
The margin amount to be recalculated as:

Min (Max [{(98-92) *1000} + {100*1000}, {25%* 98000}], (98000)
=Min (Max [{106000}, {24500}], (98000)
=Min (106000, 98000)
=Rs. 98000

The excess amount of 1000/- would be released and added in your limit.

B) In the above example where Buy Multiplier % is 25%, if you modify the limit price as 101 and limit price of your cover SLTP order to 94/- margin amount would be recalculated as

Min (Max [{(101-94) *1000} + {100*1000}, {25%* 101000}], (101000)
=Min (Max [{107000}, {25250}], (101000)
=Min (107000, 101000)
=Rs. 101000

Additional amount of 3000/- would be blocked. If limits are insufficient then you will be unable to modify the order.

. Would the Margin requirement of my existing position change at any time during the day?

Yes, the margin requirement of your existing position may undergo a change during the day after any time of position creation and this could be due to changes in exchange margins which are received multiple times during the day or I-Sec defined margins basis the internal risk policy. The additional margin required will be blocked from available limits in your account. Please note release of margins will be done as per existing process which will be done on squaring of position and after adjusting for the losses.

. How is the additional margin required calculated in case of margin changes during the day?

Below is the additional margin calculation process:

1) In case of Sell Positions:

Assume you have a sell position of 2 lots in OPT-CNXBAN-30-SEP-2021-37000-CE contract, where in the lot size is 25, Fresh market order at 10.85, Simultaneously you also place the buy (cover SLTP order) at Limit price 24 /- and SLTP 12. OptionPLUS flat rate value is 0, Sell Multiplier is 50%.

Suppose SPAN per lot and Exposure Margin are 72497 and 100952 respectively.

Margin Blocked: Max [{((Limit price of cover SLTP order - Weighted average price of fresh order) * Quantity) + (Option PLUS flat rate Value * Quantity)}, {Sell Multiplier% * (ISec required margin basis exchange margin)}]

=Max[{(24-10.85)*50+{0*50},{(50%*((72497*50)/25)+ 100952)}
= Rs.122973

Now at any point of time if Span per lot value as per exchange file or exposure % increases at any point of time then margin requirement increases due to overall impact on margin change .

Eg - Now Suppose Span per lot , Exposure Margin increases to 73178.5 , 109364 respectively

Additional Margin required = New Margin on Recomputation - Margin Blocked.
= Max[{(24-10.85)*50+{0*50},{(50%*((73178.5*50)/25)+109364)}-122973
= Rs.4887.5

2) In case of Buy Positions:

Say you have a buy position with fresh market order of 1000 quantity at Rs of 100/-. Simultaneously you also place the Sell (cover SLTP order) with Limit price 90/- and SLTP 95/-. OptionPLUS flat rate value is 0 and Buy Multiplier % is 50%

Margin Blocked = Min (Max [{((Weighted average price of fresh order - limit price of cover SLTP order) * Quantity) + (Option PLUS flat rate Value * Quantity)}, {Buy Multiplier% * Premium value}], Premium value)

= Min (Max [{(100-90) *1000} + {0*1000}, {50%* (1000*100}], (1000*100)
= Rs.50000

Suppose buy multiplier% increases to 70 % ,

Additional Margin required = New Margin on Recomputation - Margin Blocked.
= Min (Max [{(100-90) *1000} + {0*1000}, {70%* 100000}], (100000)-50000
= Rs.20000

. What will happen in case I have insufficient limits? Would my open position be squared off in this case?

In case you have insufficient limits and there is additional margin requirement then the margin will be blocked till the available free limits . Please note In case of insufficient limits, your position will not be square off , however exchange would levy a short margin collection penalty which I-Sec shall recover from you.

. What is SLTP - Limit price difference % on stock list page?

SLTP - Limit price difference % is the difference percentage defined between the SLTP and Limit price of your cover order. For example: SLTP - Limit price difference % is defined as 10% and you want to place call long (buy) order for 100 quantity in NIFTY underlying at Rs. 1200/- with strike price of Rs 6000/-. You specify the sell order (Cover SLTP order) for 100 quantity at SLTP of 1150/-. Since this is a sell cover SLTP order the limit price would be lower than the SLTP. Limit price of Rs 1035/- = (1150-(1150*10%)) will automatically appear in the Limit Price field.

. Is the 'Minimum SLTP - Limit price difference %' different for different underlying?

Yes, I-Sec may define different Minimum SLTP - Limit price difference % for different underlying depending upon the volatility and market conditions of the stock.

. Is the 'Minimum SLTP - Limit price difference %' different for contracts in the same underlying?

I-Sec may define 'Minimum SLTP - Limit price difference %' for different SLTP range at underlying level depending upon the volatility and market conditions of the stock. However, it is possible to have different 'Minimum SLTP - Limit price difference %' for different ranges of SLTP for same contracts even within the same underlying. This would mean that different orders placed even within the same contract but with different SLTP may have different 'Minimum SLTP - Limit price difference' applied depending on the price range in which the Client specified SLTP falls.

Assume you want to take Put long (buy) position for 1000 quantity in NIFTY underlying at Rs. 100/- with strike price of Rs 6000/-. Simultaneously you also want to place the Sell (cover SLTP order) of 1000 quantity with SLTP ranges for NIFTY underlying defined as follows. The OptionPLUS margin % for the scrip is 0%. Suppose following is the Minimum SLTP- Limit Price difference specified by I-Sec:

SLTP Range (in Rs.) Minimum SLTP - Limit Price difference %
0 upto 2 NA
2 upto 10 100%
10 upto 40 70%
40 upto 80 40%
80 upto 120 20%
120 upto 200 10%
SLTP > 200 5%


In the above example if you place cover Sell order with SLTP as Rs. 95/-, it will fall in SLTP range of Rs. 80-120 and 20% as SLTP - Limit price difference % will be considered for calculating limit price as shown below

Limit Price = (95-( 95)*20 %) = 76/-.

Further if you wish to place cover order with different SLTP price as per below table then different Minimum SLTP - Limit Price difference % will be considered as defined for that range under a particular underlying.

.Will order be allowed to be placed in all SLTP ranges defined for an underlying? What is the maximum percentage that can be defined for SLTP range?

If for a particular SLTP range the Minimum SLTP - Limit Price difference % defined is:

  1. NA (Not Allowed): Orders will not be allowed with SLTP prices falling under such range defined as NA. Example: In the above table if any order is placed in this underlying contract with SLTP falling in the range Rs. 0 upto 2 then such orders will be rejected.
  2. Maximum 100% : If for a particular SLTP range the Minimum SLTP - Limit price difference percentage is defined as 100% then;
    1. In case of Fresh Buy, limit price of your cover SLTP order will always be default auto populated as Re. 0.05 and full premium will be blocked as margin for such cases.
    2. ii. However in case of Fresh sell, limit price of your cover SLTP order will be auto populated considering '100% SLTP - Limit price difference %' or 'Minimum SLTP - Limit Price value' (only in case of Fresh Sell), whichever is higher. Complete margin will be blocked as explained in below FAQs.

. How is limit price of cover order for a Fresh Buy order/position calculated and populated considering the Minimum SLTP-Limit price difference?

You may refer the below table for better clarity on the Limit Price calculation in the last column based on the SLTP range and the Minimum SLTP - Limit Price difference for Fresh Buy orders.

SLTP SLTP Range Minimum SLTP - Limit Price difference % Limit Price (Auto calculated & populated)
85 80 upto 120 20% (85 - 85*(20%)) = 68
65 40 upto 80 40% (65 - 65*(40%)) = 39
40 40 upto 80 40% (40 - 40*(40%)) = 26
39 10 upto 40 70% (39 - 39*(70%)) = 11.7
5 2 upto 10 100% 0.05
1 0 upto 2 NA -
Pl. Note: SLTP - limit price difference % is only for example purpose and actual SLTP % may vary.

. Is it possible to have different SLTP range and 'SLTP - Limit price difference %' of Cover SLTP order for different option types (Call and Put) in the same underlying?

No, For both option types (Call and Put) same SLTP range and 'SLTP - Limit price difference %' of Cover SLTP order will be applicable as defined for that underlying SLTP ranges on the stock list page.

. Is it possible to have different SLTP range and 'SLTP - Limit price difference %' of Cover SLTP order for Buy and Sell in the same underlying. How is the limit price of cover order for a Fresh Sell order/position calculated and populated?

Yes. I-Sec at its discretion may define different SLTP range and different 'Minimum SLTP - Limit price - difference %' for Buy and Sell at underlying level depending upon the volatility and market conditions of the stock. In case of Sell, apart from 'SLTP - Limit price difference percentage' there will be a Minimum SLTP - Limit price Value in absolute Rupees terms defined against each range and the same can be seen by visiting the Stock list page under the F&O trading section by selecting the product as OptionPLUS. This value will be compared with SLTP - Limit price difference percentage and higher of the two will be considered for limit Price computation of the cover SLTP order while order placement.

Underlying: NIFTY
Cut Off Premium Price: 2.00
FRESH BUY FRESH SELL
SLTP Range SLTP - Limit
price difference %
SLTP Range Minimum SLTP - Limit
price difference %
Minimum SLTP - Limit
price difference Value (Rs)
0 upto 5 NA 0 upto 3 100% 1.00
5 upto 20 100% 3 upto 20 90% 5.00
20 upto 50 50% 20 upto 50 50% 8.00
50 upto 90 20% 50 upto 120 20% 15.00


In the above example, if you want to enter SLTP as Rs. 60/- for Buy cover SLTP order against your NIFTY fresh Sell order/position. Then SLTP - Limit price difference percentage as per the range table is 20% which is Rs.12/-. However Minimum SLTP - Limit price difference value of Rs.15/- is higher than value obtained from SLTP -; Limit price difference %. Hence limit price will be calculated using minimum difference as Rs.15/- and not considering Rs.12/-. This means that always higher of the two differences based on % or absolute value would be considered for calculating the Limit Price value and margin thereon.

Pl. Note: SLTP - limit price difference % is only for example purpose and actual SLTP % may vary.

. What is premium cut off price on stock list page?

Premium cut off price is the LTP below or equal to which orders will not be allowed. Example: If the premium Cut off price for NIFTY underlying is set at Rs 3/-, then contracts with LTP greater than Rs 3 will be allowed whereas contracts with LTP lower than or equal to Rs 3/- will not be allowed. Following table can be referred as an example :

UnderLying Product Symbol Expiry Date Strike Price LTP Option Type Order Allowed/Disallowed
NIFTY OPTIDX 26-Dec-2013 6700 15 Call Allowed
NIFTY OPTIDX 26-Dec-2013 6800 7 Call Allowed
NIFTY OPTIDX 26-Dec-2013 6900 4 Call Allowed
NIFTY OPTIDX 26-Dec-2013 7000 3 Call Disallowed
NIFTY OPTIDX 26-Dec-2013 7100 2 Call Disallowed

. Is premium cut off price applicable for both Fresh Buy and Sell orders?

No. Premium cut off price is applicable only in case of Fresh Sell order. However, as mentioned above, Fresh Buy orders will not be allowed with SLTP prices falling under range defined as NA.

. What happens to the pending fresh Sell and cover buy SLTP orders in case LTP of a contract moves below cut off premium price?

In case of OptionPLUS Product, customer can only cancel the pending orders which remain unexecuted in a contract whose LTP moves below cut off premium price during the day. These orders cannot be modified. However, if the customer does not cancel the pending orders then I-Sec will cancel the orders provided not already executed on best effort basis as mentioned in FAQs.

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

Depending on the stock volatility and market situation, I-Sec Ltd would specify the 'SLTP - Limit price difference %' that can be maintained on order placement and modification for a particular stock. 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 or value would apply.

The Limit Price would automatically appear in the Limit Price field based on the SLTP - Limit price difference % or minimum absolute value difference between the Limit Price compared to the Stop Loss Trigger Price (SLTP), once the SLTP is entered by the Client.

Example: A 10% difference for a particular range of SLTP has to be maintained between the limit price and SLTP for cover SLTP order for NIFTY.

You want to take a put long (buy) fresh position for 100 quantity in NIFTY underlying at Rs. 20/- with strike price of Rs 6000/-. You specify the sell order (Cover SLTP order) for 100 quantity at SLTP of 15/-. Since this is a sell cover SLTP order the limit price would be lower than the SLTP. Limit price of Rs 13.5/- = (15-(15*10%)) will automatically appear in the Limit Price field.

. How can I modify Limit Price of the cover order?

As mentioned above, Limit Price would automatically appear in the Limit Price field based on the difference prescribed by I-Sec and SLTP set by you at the time of order placement. After order placement, you can modify the Limit Price of unexecuted cover order by visiting the Order Book page by clicking on Modify link against your cover SLTP order.

. Where can I see the Minimum SLTP - Limit price difference % or absolute value for a particular underlying?

You can view the Minimum SLTP - Limit price difference % or the absolute value between SLTP and Limit price of your cover order for various underlying by visiting OptionPLUS product in the Stock List link under the F&O trading section of www.icicidirect.com

. How does the concept of OptionPLUS work?

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 falling 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.

. 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 Client agrees that ICICI Securities would not be liable for losses, if any, incurred on such position if Client does not re-enter a Cover Order. It shall be the responsibility of the client to monitor his/her positions and take adequate measures to safeguard himself against any such events. The link shall only appear when your fresh order is full executed and cover is rejected.

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

In case of OptionPLUS 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 Intraday 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. Losses, if any, on such square off shall be payable by the client which shall be recovered from Client's linked bank/demat a/c.

If for any reason position still remains open after end of day then it will be treated as a regular open Options position by exchange and I-Sec and all obligations and margin as applicable to Options would apply to such open positions which shall be adjusted from your limits or debited from your linked bank a/c. 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 (say due to partial execution of fresh order but full execution of cover 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 Option position by exchange and I-Sec. This will also be handled by I-Sec on 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 OptionPLUS Product, all the pending orders which remain unexecuted for the day would be canceled by I-Sec on best effort basis. However for any reason order still remains pending and could not be canceled then after end of day this shall get expired.

. Will there be any Mark to Market process?

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 OptionPLUS product.

. Where do I view my open positions?

You can view your positions on the OptionPLUS positions page of your www.icicidirect.com account. Alternatively you may also visit existing Open positions page by selecting OptionPLUS as product type to view open positions.

. Can I-Sec disable a scrip from trading in OptionPLUS during the day?

Yes, I-Sec can disable a scrip from trading in OptionPLUS product during the day.

. What will happen to the orders that I have placed in such disabled scrip's?

You will be unable to place new orders in such scrips. 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 scrip from placing fresh Limit order in OptionPLUS product during the day?

Yes, I-Sec can disable a scrip from placing fresh Limit order in OptionPLUS product during the day and may only allow market orders in such scrip. You can see the scrips allowed for fresh limit order placement on the stock list page.

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

You will be unable to place new fresh Limit orders in such scrips. However, you can modify the fresh Limit orders already placed to market. Modification of fresh order Limit price won't be allowed.

. What happens to the pending fresh and cover SLTP orders in disabled contracts of an underlying?

In case of OptionPLUS Product, customer can only cancel the pending orders which remain unexecuted in a contract which is disabled during the day. These orders cannot be modified. However if the customer does not cancel the pending orders then I-Sec will cancel the orders on best effort basis as mentioned above in FAQs.

.Can I convert OptionPLUS position under a contract to Options position or vice versa ?

No. Presently, you cannot convert OptionPLUS position under a contract to Options position or vice versa.

. What would be the brokerage payable on these trades?

The Brokerage for OptionPLUS orders would be the existing brokerages charged currently for Options orders based on the brokerage plan opted by you. You can refer the latest brokerage schedule on our website www.icicidirect.com on the path Customer service page > Important Information > Brokerage or the specific brokerage plan opted by you.

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

In order to promote orderly trading, National Stock Exchange of India Ltd (NSE) has prescribed reference price and execution range for futures and options (F&O) 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 shall be the theoretical price based on the underlying price at market open, and during trade, it would be the simple average of trade prices of that contract in the last three minutes. For contracts that have traded in the last three minutes, 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.

The execution range for future contracts would be 5% around the reference price. For option contracts, between Rs.0.05 to Rs 25 reference prices, it would be a minimum absolute range of Rs.7.50 around the reference price. For option contracts above Rs.25 reference price, it would be 30% of such reference price with minimum absolute range of Rs.10 around the reference price. The execution range will not apply to India Vix Futures and long-term option contracts on Nifty.

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

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

Yes, since in OptionPLUS you place two orders simultaneously wherein Fresh order will be Options market order with the second leg Options 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 Fresh/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 1000 quantity at current market price of 100/-. Simultaneously you also place the Sell (cover SLTP order) of 1000 quantity as Limit price 90/- and SLTP 95/-. At the time of Execution of cover order, the execution price say for example 91/- is outside the Trade price Execution Range (92-98). 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 1000 quantity at current market price of 100/-. Simultaneously you also place the Sell (cover SLTP order) of 1000 quantity as Limit price 90/- and SLTP 95/-. 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 "Square Off at Market" or "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 "Square Off at Market" or "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 1000 quantity at current market price of 100/-. Simultaneously you also place the Sell (cover SLTP order) of 1000 quantity as Limit price 90/- and SLTP 95/-. At the time of Execution of cover order, there are two opposite orders finding match of 500 quantity each at Rs 91/- and 93/-, respectively. The Trade price Execution Range at that point is Rs 92-98. Such order will be partly canceled (Quantity 500 at Rs 91/-) and partly executed (Quantity 500 at Rs 93/-) 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 (Quantity 500) at current market price.

Assume you try taking a buy position for the fresh order of 1000 quantity at current market price of 100/-. Simultaneously you also place the Sell (cover SLTP order) of 1000 quantity as Limit price 90/- and SLTP 95/-. At the time of Execution of fresh order, there are two opposite orders finding match of 500 quantity each at Rs 97/- and 99/-. The Trade price Execution Range at that point is Rs 88-98. Such order will be partly canceled (Quantity 500 at Rs 99/-) and partly executed (Quantity 500 at Rs 97/-) 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 (88-98). 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 (Quantity 500) 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 OptionPLUS(OP) 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 OptionPLUS(OP) fresh order(s) in order book irrespective of the status.


. Will Quick Exit link be displayed against all the positions in OptionPLUS(OP) open position page ?

Yes. Quick Exit link will be displayed against each open position on OptionPLUS(OP) position page under Action column and below "Square OFF at Market Price" link.


. Is there any difference if I do Quick Exit from Order book or OptionPLUS(OP) 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.


. What is client level limit?

Client level limit is the maximum order value which can be utilize while taking fresh Long positions in Option Plus product.
For example, if limit is set as Rs 1,00,000, then customer will be allowed to place order below Rs 1,00,000 for both i.e. be it Call long (buy)or Put long (buy).


. Is Client level limit check being applicable while taking Fresh Sell position in Option Plus product?

No, this check is not applicable for taking fresh sell positions in option plus, this check is only applicable for taking fresh long (buy) option plus positions.


. Can a user place order in Normal Options even after breaching the limit in Option Plus Buy?

Yes, there will not be any restriction for order placement of normal options product.


. Is Client Level Limit check applied for all products of F&O?

No, this client level check will only be applicable for Option Plus product and for fresh long (buy) side only.


. On what basis is the client level limit check applied or calculated?

Client level limit check value is nothing but it is the order value calculated as per below formula
Order value = QTY*LTP/Limit Price (of premium).

Contract Order Type LTP/Limit Price Qty Order Value
OPT-NIFTY-10-AUG-2023-18000-CE Limit 100 50 5000
OPT-NIFTY-10-AUG-2023-18000-PE Market 110 50 5500


. Is Client Level Limit check applicable on square off orders as well?

No, there will not be any restrictions on squaring off the existing options plus open positions.


FAQ (SHARES AS MARGIN)      FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FuturePLUS Normal Margin)      FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)     FAQ (OptionsPLUS)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)      FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX      FAQ(Global Indices)     Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What forms of Margin are acceptable for taking F&O and Equity positions?

For F&O and Equity 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 favour 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 F&O and Equity 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 and equity positions and brokerage applicable on the transactions.

. When should cash be made available for settlement dues?

Cash should be made available upfront before execution of trade in any segment in your bank account as per the schedule in the 'Cash Projections' page. For example, 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.

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

Pay-in is normally made from your allocation to F&O and Equity 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 F&O and Equity 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 on invocation will then be utilized to meet the pay-in obligations.

. What is the process of creating fresh pledge request in case of Shares as Margin (SAM) facility?

You can create a fresh pledge request by following the below steps :

1. Login into your account

2. Go to Shares as Margin

3. Click on ‘Pledge & Create Limit’ and select the stock you wish to pledge

4. Choose the segment you wish to pledge

5. After placing the pledge request, you will be redirected to your Depository’s portal where you will have to provide OTP authentication to validate the pledge. OTP will be sent to your Mobile number and E-mail id registered with the depositories.

6. Once the pledge request is confirmed by the depository, you will be getting the limits against the shares pledge on real time basis.

. How do I deposit Securities as Margin?

Click on the 'Pledge & Create Limit' link on the 'Shares As Margin' Page. 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 be redirected to your Depository’s portal where you will have to provide OTP authentication to validate the pledge. OTP will be sent to your Mobile number and E-mail id registered with the depositories. You can confirm and authenticate your pledge request through the OTP provided to avail your SAM Limit.

. What will happen if I do not select all the stocks while providing confirmation on the link received from NSDL/CDSL?

If you do not select all stocks while providing pledge confirmation, only your unselected stocks will not get pledged and therefore get rejected.

. What are Share As Margin (SAM) Pledge timings?

Below table illustrates the Pledge timings.
Session Start Timing End Timing
First Pledge Session 12:00AM 3:30PM
Break time 3:30PM 5:00PM
Second Pledge Session 5:00 PM 9:00 PM
Break time 9:00 PM 12:00AM
* During Breaktimes pledging shall not be allowed.

. What will happen If I place a pledge request on Weekend /Settlement Holiday/ Trading Holiday?

Your pledge status will be shown as “In Process” under Status book. Once your request gets “Confirmed” from your Depository on Next trading day, Limit shall get generated against your pledged shares.

. I accidentally closed my NSDL/CDSL Pledging page without OTP confirmation. What will happen to my request?

In this case, your pledge request shall get “Rejected” within 30 Minutes and you will be able to pledge again with the same quantity.

. Can I deposit any security lying in my demat account as Margin?

We have enabled only select securities which meet the criteria for liquidity and volume for depositing as Margin. This list can be seen in the 'Stock List' page in the F&O and Equity section.
Further, balances of only these securities are available when you access the ''Pledge & Create Limit' sub-link as explained in the previous answer.

Inspite of being a security eligible for deposit, its deposit may not be permissible in either of the following scenarios :
(a) the value of the securities deposited is very small
(b) the value of the deposit of a particular security including previous deposits of the same security is in excess of a specified amount
(c) the securities limit arising out of securities deposited as margin including previous deposits is in excess of a specified amount
(d) the value of the deposit of a particular security including previous deposits of the same security including by other clients also is in excess of a specified amount

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


1) On Trading Day-Your pledge status will be shown as “In Process” under Status book. Once your request gets “Confirmed” from your Depository, Limit shall get generated against your pledged shares on real time basis.
2) On Weekend /Settlement Holiday/ Trading Holiday- Your pledge status will be shown as “In Process” under Status book. Once your request gets “Confirmed” from your Depository on the next Trading Day, Limit shall get generated against your pledged shares on real time basis.
You will be able to Move free securities limit directly from one segment to another 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, segment 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 closing price of a stock on the previous day is specified as the valuation price. The haircut% for all eligible stocks can be seen in the 'Stock List' page in the (Equity andF&O) section. The valuation price and the haircut% for all stocks available for deposit can also be seen in the 'Pledge & Create Limit' page.

The limit arising out of securities deposited can be seen in the F&O and Equity limit page. Limit would be arrived by aggregating.
(a) Allocation of funds from back account (voluntary in the form of 'Bank Allocation and involuntary in the form of 'Block for Trade')
(b) Securities Deposited
(c) Settlement balances (net)
The details of how limit is arising from individual securities deposited can be seen in the F&O and Equity Deposited Securities page.

. What does "Pledge & Allocate to Equity", "Pledge & Allocate to F&O", "Pledge & Allocate to Currency” & "Pledge & Allocate to Commodity” on the 'Pledge & Create Limit' page mean?

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

If you click on Pledge & Allocate to F&O while placing pledge request, the limits will be allocated to F&O 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 F&O and Equity 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 closing price of a stock on the previous day is specified as the valuation price. Hence, the limit arising out of securities deposited as margin is recalculated every day when the new closing price for the securities is received. 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 F&O and Equity 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 F&O and Equity 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 favour 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 section. Till such time that the pledge creation is actually initiated by ICICI Securities on your behalf (i.e. the status changes from 'In Process' to ‘Confirmed’ status), the requested quantity appears as 'Pledge Requested Quantity' in the 'Demat Allocation' page in the Equity section.

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 'Unpledge' 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 F&O and Equity 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 F&O and Equity 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 F&O and Equity section)

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

On revocation of securities deposited as margin, F&O and Equity 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 F&O and Equity section. However, the quantity revoked is immediately reduced from 'Quantity' in the 'Pledged Securities' page in the F&O and Equity 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 F&O and Equity 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 next morning. This will permit you to bring in funds in your bank account in the evening.

The sale proceeds of this sale will be utilized to meet the pay-in shortfall. Any excess realization will also be allocated for F&O and Equity from your bank account 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 Equity Order book (they will be identified as ). The quantity so sold will appear as 'Block for Sale' in the 'Pledged Securities' page in the F&O and Equity section.

ICICI Securities would invoke the securities pledged in favour 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 F&O and Equity 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 22%
Client has a shortfall of pay-in Rs 3,00,000/-

Value of shares to be invoked will be 3, 66,000/-.

You have pledged the following shares :
Scrip Qty Closing 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 Closing Price Value
BHEL 2000 150 300000
ACC 880 75 66000
    Total 366000

.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 F&O and Equity (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 F&O and Equity 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 favour 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 F&O and Equity 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 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 does "Pledge & Allocate to NWB", on the 'Pledge & Create Limit' page works on 'ICICIdirect - Stock, F&O, MF' & 'Traderacer'?

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




FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)      FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FuturePLUS Normal Margin)      FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)     FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)     FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX      FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

What forms of Margin are acceptable for taking futures and options positions?

For futures and options 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 blocking securities allocated from your Demat account in favour of ICICI Securities).

On what positions would the Margin be debited?

The Margins would be debited on Futures buy open positions, Futures sell open positions and Options sell open positions.

Will any Margin get debited if I have taken the positions by blocking shares in my Demat Account?

Yes, the margin will get debited in any of the following scenarios :

a) In case the total margin required on your total open positions is met by the blocked shares alone, in such case no funds would be debited as margin from your account even if there are idle funds lying in your linked bank account.
b) In case the total margin required on your total open positions is partially met by the blocked shares, in such case the balance required margin amount at end of day shall get debited from your linked bank account.
c) In case there are no blocked shares in your account, then the entire required margin amount at end of day shall get debited from your linked bank account.

When will the Margin be debited from my linked bank account?

The Margin shall be debited from your linked bank account at end of the day from your FNO allocation to the extent of limit utilized after adjusting shares margin available.

When can the blocked margin will get released?

At End of the day.

Can I withdraw the margin during the day?

Yes. You can withdraw the margin amount between Monday to Friday - till 07:00 pm.

How do I withdraw my Margin amount lying with ICICI Securities?

To withdraw the deposited margin amount with ICICI Securities, you need to place the release margin request to the extent of free margin available through the link available on the "I-Sec Margin Details" page on the FNO section of I-Direct web site.

The same can be done under the following scenarios:

a) By blocking additional shares lying in your demat account up to the extent of margin required.
b) mBy squaring off the open positions.

The released margin amount will immediately get credited to the FNO allocation of your linked bank account.

In case if there is no margin withdrawal request placed in your account, the excess free margin available with ICICI Securities at end of day would be credited to your linked bank account on the same day.

To illustrate,

On T-1 day, Rs.100000 margin was required on your total open positions (Rs.60000 as shares and Rs.40000 cash debited from your allocation and kept in I-Sec Margin account) and supposing on T day eod, the new margin requirement is Rs.90000. At the same time suppose you have blocked 50000 as shares as margin on T day itself. In such case, system would release (credit) 40000 cash in your bank allocation.

Where can I see the Margin amount debited from my savings account?

You can see the Margin amount on the FNO limit page under I-Sec Margin amount in your trading account.



FAQ (Cloud Orders)      FAQ ( FUTURES )     FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)     FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)    FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)      FAQ (Basket Orders)      FAQ INDIA VIX          FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

What is a Cloud Order?

Cloud Order is a feature for placing quick orders in all F&O products like Future, FuturePLUS, FuturePLUS Stop Loss, Option and OptionPLUS products. Customer can save orders post market or before market hours to save time on filling order details during market hours and within clicks the order can be placed using this feature. Also this feature can be used for saving order for future order placement and customer can place them by clicking Buy/Sell link available against each order saved on Cloud Order page under F&O>Transact Menu. This feature will save customer's time and he / she need not enter all the order details each and every time during order placement.

In which products can I place Cloud Order?

Presently under F&O segment, you can save and place Cloud Orders in Future, FuturePLUS, Option along with existing FuturePLUS Stop Loss and OptionPLUS products.

How can I add a Cloud Order?

You can click 'Add to My Cloud' Button on Cloud Order page available under F&O>Transact menu. This will open a page where you can enter and save the order details like Stock Code, Option Type (in case of Option & OptionPLUS), Contract Details, Quantity, Order Type and Cover SLTP Difference for FuturePLUS Stop Loss or OptionPLUS.

You can also add Cloud Orders from order placement page, where you can click on "Buy/Sell" links under "Place Cloud Order" column after clicking select contract, if there is no order saved to Cloud for the selected contract. If you have an order already saved to Cloud Orders in the selected contract then you will be taken to Cloud Order page from where you can Buy/Sell and place your order during market hours.

At what time can I add a Cloud Order?

You can add a Cloud Order anytime during market hours as well as before or after market hours.

What is Cover SLTP Difference?

Cover Stop Loss Trigger Price Difference is the price difference amount between LTP/Limit Price of Fresh order and SLTP of your cover order in case of FuturePLUS Stop Loss or OptionPLUS orders. You can choose any difference amount upto two decimals and this difference would be used to calculate the SLTP of your cover order and existing functionality for SLTP would continue. This difference is required for Cloud Order placement under FuturePLUS Stop Loss and OptionPLUS products.

  • Fresh Market Order - In case of Fresh Market order your cover order's SLTP would be calculated considering the Cover SLTP Difference defined by you for the saved Cloud Order and it would be calculated as a difference from LTP i.e. reduced from LTP in case of Fresh Buy order under these products and added to LTP in case of Fresh Sell order.

    • Fresh Market Buy order: Cover SLTP = LTP - Cover SLTP Difference
    • Fresh Market Sell order: Cover SLTP = LTP + Cover SLTP Difference

    Note: LTP considered in case of Fresh market order would be the latest LTP at the time of order placement. SLTP would be calculated based on this LTP.

  • Fresh Limit Order - In case of Fresh Limit order your cover order's SLTP would be calculated considering the Cover SLTP Difference defined by you for the saved Cloud Order and on similar lines as mentioned above difference would be calculated from Limit Price entered by you instead of the LTP.

    • Fresh Limit Price Buy order:
      Cover order's SLTP = Limit Price of Fresh Order - Cover SLTP Difference
    • Fresh Limit Price Sell order:
      Cover order's SLTP = Limit Price of Fresh Order + Cover SLTP Difference


Example:
  • For Fresh Market order: You want to save the Cloud Order in your desired contract with the Cover SLTP difference say of 0.50 paise. In this case when you choose Buy/Sell links from Cloud Order page say the LTP of Fut-NIFTY-25-Feb-2016 is 7130.75 then the Cover order's SLTP will be calculated as per you defined Cover SLTP Difference as follows:
    In case of Fresh Buy: 7130.75 - 0.50 = 7130.25
    In case of Fresh Sell: 7130.75 + 0.5 = 7131.25

  • For Fresh Limit Order: In the above example with cover SLTP Difference say of 0.75 rupee and the Limit Price of fresh order entered by you is 7130.5 then the Cover order's SLTP will be calculated as per you defined Cover SLTP Difference as follows:
    In case of Fresh Buy: 7130.5 - 0.75 = 7129.75
    In case of Fresh Sell: 7130.5 + 0.75 = 7131.25

How can I place a Cloud Order?

You can click 'Buy/Sell' link against your saved Cloud Order to proceed placing order during market hours. This will open order placement page with all pre populated order details saved by you under Cloud Order for respective products and you just need to submit the order.

Alternatively, on order placement page when you select a contract there is a column named "Place Cloud Order" with "Buy/Sell" links and on clicking these links, if you have an order already saved to Cloud Orders in the selected contract then you will be taken to Cloud Order page from where you can Buy/Sell and place your order during market hours. In case you do not have an order saved to cloud in the selected contract then you will be required to "Add to Cloud order" where you can save this contract with the required order details for regular future use for quick order placements where all order details will then be pre-populated through this one time effort of saving to cloud. You can also have multiple orders saved in the same contract and place order against the desired order details saved to cloud.

Which order details are required to be entered at the time of saving a Cloud Order?

You are required to enter Stock Code,select Option Type (in case of Option & OptionPLUS), Contract details, Quantity, Order Type, and Cover SLTP Difference in case of FuturePLUS Stop Loss OptionPLUS only. 

Can I modify Cloud Order details previously saved? If yes, which order details will I be able to modify?

Yes, you can modify a saved Cloud Order details like Quantity, Order Type of all F&O products and Cover SLTP Difference FuturePLUS Stop Loss & OptionPLUS anytime irrespective of market open or closed by clicking "Modify" link available on Cloud Order page against each Cloud Order saved. Please note you cannot modify Stock Code and Contract Details for a saved Cloud Order. If you wish to change the same then you will have to add another Cloud Order.

Can I delete a Cloud Order(s)? If yes, can I delete only one Cloud Order or even multiple Cloud Orders can be deleted?

Yes, you can delete your saved Cloud Order(s), single or multiple. For deleting Cloud Order(s) you will have to tick the checkbox given under 'Delete' column against each Cloud Order required to be deleted and then click "Delete Button" available at the end of Cloud Order page. In this way you will be able to delete Single or Multiple Cloud Orders at a time.

Can I add Cloud Orders in different contracts of the same underlying/stock code?

Yes, you can add Cloud Orders in different contracts of the same underlying.

Can I add multiple Cloud Orders in the same underlying contract?

Yes, you can add multiple Cloud Orders in the same underlying contract. You can save different order details (like Quantity, Order Type and Cover SLTP Difference) under the same underlying contract. Please ensure to keep one of the order details different than the previously saved orders in the same contract. However, it is advisable to have fewer Cloud Orders in same underlying contract to avoid errors at the time of order selection and placement due to similar multiple orders.

Can I add a Cloud Order if a contract/Underlying is disabled?

No, you cannot add a Cloud Order if a Contract/Underlying is disabled.

Can I place a Cloud order i.e. Buy/Sell in a contract/underlying which gets disabled after I had added to Cloud order page?

No, you will not be able to place a Cloud Order in a contract/underlying which gets disabled after you had added it to your Cloud Order page. You will be able to proceed with the Buy/Sell links through Cloud order page with pre-populated details but on proceeding you will get an error if contract or underlying is disabled. Hence, you are requested to check the enabled contracts at regular intervals to delete Cloud Orders in contracts which are disabled for long period.

What will happen to my Cloud Order if the contract in which Cloud Order is saved has expired?

Cloud Orders in expired contracts will not appear in your Cloud Order page after expiry date.

FAQ (Basket Orders)      FAQ ( FUTURES )     FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis      FAQ (OPTIONS)     FAQ (OptionsPLUS)     FAQ (SHARES AS MARGIN)    FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)      FAQ (Cloud Orders)      FAQ INDIA VIX          FAQ(Global Indices)    Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

. What is Basket Order?

A basket order is a facility provided to you which enables you to save orders in a Basket post entering the required order details and use each created basket to place multiple orders under same/different products at one go. Customers can create and save orders in baskets anytime post market or before market hours or even during market hours which can be used later for placing orders till expiry of the contracts. It is beneficial for the customers who wants to place a group of orders for different product type at one time and will also save customer's time as he need not enter all the order details each and every time he places an order.
In addition, margins for saved order in the basket will also be displayed on the Basket order window itself which will be useful for customers who create strategies for trading in F&O.

. In which products can I save and place Basket order?

You can save and place Basket Orders in Future, FuturePLUS, FuturePLUS Stop Loss, Options and OptionPLUS products.

. At what time can I add Order in Basket?

You can add orders in Basket anytime during market hours as well as before or after market hours.

. How do I create and place Basket orders?

You can create and place Basket Orders as follows:

  • Click on 'Basket Order' tab under F&O segment.
  • To create your Basket, click on 'Create Basket' button on 'Baskets' page.
  • Enter the Basket Name you wish to save in the 'Create New Basket' pop up and click on 'Proceed' button. This will open order entry window where you can Save the orders post entering the Order details.
  • Additional orders can be added in your Basket by using 'Add to Basket' button on basket order page.
  • You can Click on 'Place Order' button available on basket order page so as to proceed with placing orders which are saved in the Basket.
Please note, if you wish to place orders saved in the basket order sometime later then you can click on 'Save Basket' available on basket order page.

. What details will be displayed on the 'Baskets' Page?

Below details will be displayed on 'Baskets' page once the Basket is created:

  • 'Basket Name' as saved by you.
  • 'No of Contracts' to give the count of contracts/Orders saved in the basket.
  • 'Created on' will display the Date on which the Basket was created.
  • 'Delete' option.

. Can I delete an earlier created Basket(s)?

Yes, you can delete your saved Basket(s), by clicking the delete icon given on 'Baskets' page.

. Can I modify an earlier created Basket?

Yes, you can modify an earlier created Basket by clicking on the basket name displayed on the 'Baskets' page.

. How many Baskets can I create?

A maximum of 20 baskets can be created.

. How many orders can I add in one basket?

A maximum of 20 orders can be added to a particular basket.

. What is Required Margin and Final Margin displayed on Basket Order Page?

Required Margin: Required margin will display the margin which will be required to place all/selected orders in the Basket on clicking the View Margin link. This margin will not include any spread or hedge benefit.

Example: If you have added 25 Qty Buy of FUT-CNXBAN-29-Jul-2021 @ 38000 and 25 Qty Sell of FUT-CNXBAN-26-Aug-2021 @ 38050 in this case the required margin will display the order level margin required for placing these orders.
Hence, the required margin in case of SPAN accounts will be calculated as follows:
Total SPAN Margin required is 302870 and Initial Exposure Margin % is 2%
Initial Exposure Margin = ((25*38000) + (25*38050)) * 2% = 38025.
So the required margin displayed for the above basket orders will be
= 302870+38025
= 340895
Required Margin in case of NON SPAN will be calculated as follows:
Initial Margin(IM) % is 5% so Total IM will be = ((25*38000) +(25*38050)) * 5%
= 95063

Final Margin: Final margin is the position level margin including spread benefit or hedge benefit that will be eventually blocked after the order execution at the traded/executed prices.

In case you want to check the Margin requirements including spread or hedge benefit considering all your existing positions then you can tick the 'Include Existing Positions' checkbox.

Example 1: If you have added 25 Qty Buy of FUT-CNXBAN-29-Jul-2021 @ 38000 and 25 Qty Sell of FUT-CNXBAN-26-Aug-2021 @ 38050 in a basket, so in this case the final margin will be displayed with the spread/hedge benefit which will be received on execution of the orders.
Hence, the final margin in case of SPAN accounts will be calculated as follows:
Total SPAN Margin required is 167780 and Initial Exposure Margin % is 2%
Initial Exposure Margin = ((25*38000) + (25*38050)) * 2% = 38025.
So the final margin displayed for the above basket orders will be
= 167780+38025
= 205805
Final Margin in case of NON SPAN will be calculated as follows:
Spread Initial Margin (IM) % is 3% so Total IM will be = ((25*38000) +(25*38050)) * 3%
= 57038

Example 2: Suppose you have added order of 25 Qty Sell of FUT-CNXBAN-26-Aug-2021 @ 38000 price in your basket and you have an existing buy position of 25 Qty in FUT-CNXBAN-29-Jul-2021 contract @ 38050 price in your future open positions so the 'Include existing positions' feature will help you in calculation of margins with spread/hedge benefits which will be created on execution of your orders in basket. Therefore, when you tick the checkbox of 'Include existing positions' the final margin amount displayed will include the spread benefit which will be created on execution of your basket order of 25 Qty of Sell FUT-CNXBAN-26-Aug-2021.

Hence, the final margin in case of SPAN accounts will be calculated as follows:
Total SPAN Margin required is 167780 and Initial Exposure Margin % is 2%
Initial Exposure Margin = ((25*38000) + (25*38050)) * 2% = 38025.
So the final margin displayed for the above basket orders will be
= 167780+38025
= 205805

Final Margin in case of NON SPAN will be calculated as follows:
Spread Initial Margin (IM) % is 3% so Total IM will be = ((25*38000) +(25*38050)) * 3%
= 57038

Please note, Option Buy Premium will be included in the Required margin and Final margin value. Also, adding long option positions might have margin benefits on futures and short option positions which be reflected in Final Margin value.

. What is 'View Margin' link on basket order page?

You can click on 'View Margin' link available on the Basket order page in order to view the 'Total Required Margin' and 'Final Margin' and can also be used in order to view the updated values for required & final margins post modification or deletion of orders in the basket.

. Do I need to place all the orders saved in the Basket?

You can select the orders out of the saved orders in the basket which you wish to place. This can be done using the checkbox available against each saved order under 'Select All' column. You can untick the checkbox to unselect the order and tick the check box to select the Order. Also, you can select all the orders using the checkbox available under the 'Select All' column header.

. Can I modify the orders previously saved in the basket?

Yes, you can modify the orders previously saved in the Basket using the edit icon under 'Action' column available on basket order page.

. Can I delete the orders previously saved in the basket?

Yes, you can delete the orders previously saved in the Basket using the delete icon under 'Action' column available on basket order page.

. Which stocks are eligible for Basket Orders?

All the stocks enabled for trading in F&O segment are enabled for Basket Orders.

. Where can I view my saved Baskets?

The saved Baskets can be viewed under the 'Basket Order' tab link in the F&O segment.




FAQ INDIA VIX      FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FuturePLUS Normal Margin)     FAQ (FuturePLUS Stop Loss with Profit Order)      FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      Trade Analysis      FAQ (OPTIONS)    FAQ (OptionsPLUS)    FAQ (SHARES AS MARGIN)     FAQ (FNO MARGIN DEBIT /CREDIT PROCESS)     FAQ (Cloud Orders)      FAQ (Basket Orders)      FAQ INDIA VIX      FAQ(Global Indices)     Specific FAQs on BSE      Physical Settlement in Stock Derivative      Long Option Delivery Margin for Physically Settled stocks      Process to give Request for Physical Delivery in Stock derivatives      Withheld Profits      Specific FAQ on Exchange specified Clientwise limit      Provision to give intent online for Physical settlement in Stock derivatives      Peak Margin Changes      Physical settlement Stocks disable contracts and EOS for Options      GTT in F&O

What is India VIX?

India VIX is India's first volatility index which is a key measure of market expectations of near-term volatility.

How is India VIX computed?

India VIX is computed by NSE based on the order book of NIFTY Options. The best bid-ask quotes of near and next-month NIFTY options contracts which are traded on the F&O segment of NSE are used for computation of India VIX.

What does India VIX signify?

India VIX indicates the investor's perception of the market's volatility in the near term i.e. it depicts the expected market volatility over the next 30 calendar days. Higher the India VIX values, higher the expected volatility and vice-versa.

What is the value of India VIX?

In the year 2013 the India VIX values were in the range of 13 to 32. Since India VIX signifies volatility, the values will be computed upto 4 decimal places as market participants may like to analyse impact on prices due to small changes in volatility.

How India VIX helps investors?

Volatility implies the variation in price of a financial instrument. Thus when the markets are highly volatile, market tends to move steeply up or down and during this time volatility index tends to rise. Volatility index declines when the markets become less volatile. Volatility indices are sometimes also referred to as the Fear Gauge because as the volatility index rises, one should become careful as the markets can move steeply into any direction. Investors use volatility indices to gauge the market volatility and make their investment decisions.

Is India VIX similar to that of market indices like NIFTY?

Volatility Index is different from a market index like NIFTY. NIFTY measures the direction of the market and is computed using the price movement of the underlying stocks whereas India VIX measures the expected volatility and is computed using the order book of the underlying NIFTY options. While Nifty is a number, India VIX is denoted as an annualized percentage.

What shall be the use of futures on India VIX?

India VIX derivatives can be used to hedge the risk of market volatility. Participants can use India VIX futures for portfolio diversification and for volatility trading.

Can I trade in both Futures and Options on India VIX?

No. Only Futures trading is allowed under India VIX by the exchange.

On which exchanges can I trade on India VIX?

India VIX is a volatility Index provided by National Stock Exchange of India (NSE) and hence you will be able to transact only on NSE.

Where can I view futures contracts for trading in India VIX?

Future contracts enabled for trading in India VIX as underlying, will be displayed on the site when you select contracts either through the 'Place order' link or the Stock list page on www.icicidirect.com.

What is the tick size (minimum movement in price) or the price steps that I can take while trading in derivative contracts on India VIX? What is the minimum lot size for India VIX?

For India VIX the tick size (minimum movement in price) or price steps would be Re. 0.25. and minimum lot size is 750. At the time of introduction, Exchange has specified a minimum contract value of Rs. 10 lakhs. This minimum contract value may change depending on the India VIX movement and contract specification changes made by Exchange from time to time.

What is the Expiry Day for the derivative contracts traded in India VIX?

For the derivative contracts traded with India VIX as the underlying, the expiry day will be every Tuesday of the Week. In case Tuesday is a trading holiday, the previous trading day shall be the expiry/last trading day. All contracts shall expire at the normal market closing time on the expiry day or such other time as decided by Exchange.

What symbol code will I have to enter for trading in India VIX?

For trading in India VIX you need to enter "INDVIX" when you select contracts through the 'Place order' link.

How many contracts will be enabled for India VIX?

3 weekly contracts will be enabled under India VIX by exchange and I-Sec at its discretion may enable select contracts out of exchange provided list based on the liquidity criteria decided from time to time. New futures contracts shall be introduced for every week, after the expiry of the relevant previous week's contracts.

How is the Contract Price of India VIX Futures quoted?

For ease of trading the India VIX futures price shall be quoted as expected India VIX index value * 100. If trader wants to buy or sell contracts of India VIX futures at 18.1475, then the price to be quoted shall be Rs.1814.75.

What is the impact of 1 tick change on India VIX portfolio?

The underlying India VIX has a tick value of 0.0025 and the futures on India VIX has tick value of 0.25. Using the above example change in 1 tick will have following impact.
  India VIX value India VIX Futures Price Contract Value
Current Price 18.1325 1814.75 Rs.10,88,850
1 tick change 18.1350 1815.00 Rs.10,89,000
Impact 0.0025 0.25 Rs.150
As it may be seen, change in 1 tick will change value of 1 contract of India VIX futures by Rs.150

What is the settlement mechanism for India VIX futures?

Like other equity derivatives contract, India VIX futures shall be marked-to-market (MTM) on a daily basis. The MTM shall be netted along with other equity derivatives contract at the clearing member level. The contracts shall be cash settled.

What is the settlement price for India VIX futures?

The daily settlement price of India VIX futures shall be the weighted average price for last 30 minutes of the respective futures contract. If the contract does not trade, then theoretical futures price shall be used for computation. The final settlement price will be the closing value of the India VIX index on the expiry day. The closing value of the India VIX index is the average of the index values for last 30 minutes of trading.

What are the charges for trading in India VIX?

Existing brokerage applicable to Futures transactions and applicable statutory charges would be levied on the India VIX transactions depending on the brokerage plan availed by you.

FAQ(Global Indices)      FAQ (FUTURES)      FAQ (Price Improvement Order)      FAQ VTC (Valid Till Cancel) Futures Squareoff     FAQ (FUTURES ROLLOVER)      FAQ (FUTURES ROLLOVER WITH SPREAD)      FAQ (FuturePLUS Normal Margin)      FAQ (FuturePLUS Stop Loss with Profit Order)      Trade Analysis