In the event the aggregate value of all the purchases executed by any participant (other than the custodian Banks) on behalf of a particular client in relation to a particular security during a particular market day equals or exceeds Rs. 20 Mn., such participant shall provide a minimum margin of 15% of the aggregate value of the securities so purchased in the form of ‘cleared funds’ to the CDS or a bank guarantee in favor of the CDS, by 09.00 hours on Trade Day +1 (T +1).
The CDS shall issue schedules containing the margins payable by Member Firm participants at the end of each market day.
Participants are required to deposit such margins into their settlement account in their settlement Bank. Alternatively, Participants may furnish a bank guarantee, in a format acceptable to the CDS, obtained by the Account Holder in favor of the CDS.
The CDS would credit the settlement account of the member Firm Participant on T+3 with the margin amount paid on Trade day.
In the event a trade is not affirmed by a Custodian Bank, the Participant shall be required to submit the margin by 09.00 hours on T+2.