Short answer
You can pledge up to 800 approved securities for interest-free collateral margin. You can also pledge additional Group A stocks outside this list, but iRage charges 0.05% interest per day on the collateral margin you utilise from these. When you visit the Console pledge window, you will see an asterisk (*) next to additional securities.
How margin utilisation works
When you pledge both Approved and Additional securities (beyond approved list), the following order is followed:
First priority: Your collateral margin from Approved securities is utilised.
Second priority: Once you exhaust your margin from Approved securities, collateral margin from Additional securities is utilised, and interest is charged at 0.05% per day on it.
When you use collateral margin from Additional securities:
50% comes from collateral margin
50% must come from cash or liquid collateral (Liquid funds or liquid ETFs)
Example
Consider a position with a margin requirement of ₹1,00,000. Half of this (₹50,000) must be in cash or cash collateral, and the remaining half can be in non-cash collateral.
You have two securities pledged for non-cash collateral: ₹25,000 from RELIANCE (an approved security) and ₹25,000 from NXST (an additional security beyond the approved list).
The ₹25,000 from RELIANCE is interest-free since it is an approved security.
The ₹25,000 from NXST attracts a daily interest charge of 0.05% plus 18% GST since it is an additional security beyond the approved list. Daily interest: 0.05% of ₹25,000 = ₹12.50 GST (18% on ₹12.50): ₹2.25 Daily interest charged on ₹25,000 from NXST: ₹14.75
Daily interest: 0.05% of ₹25,000 = ₹12.50
GST (18% on ₹12.50): ₹2.25
Daily interest charged on ₹25,000 from NXST: ₹14.75
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