Dear Traders,
At Dhan, we’re truly grateful for the trust our users place in us. One thing we consistently hear from our community is appreciation for our versatility and agility. Whether it’s launching new features, improving our products, or acting on your feedback, our goal has always been to give you a product suite that helps you place trades effectively.
Margin Trading Facility (MTF) is one such offering. With MTF on Dhan, you can :
- Get up to 4X leverages on 1000+ stocks, being one of the highest in the industry
- You can use your existing cash or collateral as margins to place trades using MTF in the markets.
- These stocks can be held for an unlimited period of time provided you maintain the required margins.
- Stocks held under MTF as holdings can seamlessly be converted to delivery if you feel like you want to discontinue using leverages on a specific scrip.
We understand that Traders, when they have open positions - would like to switch between order types, either fully or partially and for many reasons. They would want to convert a position to available leverage in MTF, change minds from long-term to short-term, or otherwise.
We are now excited to offer you the flexibility you sought on your Open Positions by allowing you to convert them effortlessly between Intraday, MTF and Delivery.
What this means-
- An existing MTF position can be converted to Delivery / Intraday.
- An existing Delivery / Intraday position can be converted to MTF
- You can convert the positions fully or even partially.
These conversions allow you the flexibility of changing your stance on an existing open position based on the market conditions at that time. For e.g. you have an existing intraday position in the market but due to a turn of events you realise that you would like to hold the position for longer. You can simply convert that position to MTF and carry it forward along with the benefit of leverage.
How to Convert or Switch between the same:
- Go to the existing Open Position that you have on Dhan.
- Tap on “Convert Order” under Position Details
- Select the option to convert to MTF, Intraday, or Delivery (depending on the existing order type).
- Enter the quantity you wish to convert, and confirm.
It’s that simple!
We’re committed to making your trading experience smoother and more powerful.
MTF on Dhan has become a much fuller surface than it was at launch, with a lot of small additions that traders here pushed us toward. If switching positions fluidly is part of how you trade, here are a few related launches that pair well with this one:
- MTF Now from as Low as 12.49% p.a — MTF interest rates on Dhan now start from 12.49% per annum, among the lowest in the industry. Makes leveraged positions meaningfully more affordable to hold over longer windows.
- MTF Interest Rates Capped at 15.49% — even at the higher end, MTF interest rates on Dhan are now capped at 15.49% across the board. Removes the uncertainty of variable rates climbing on you while a position is still open.
- MTF Limit Increased to ₹5 Cr — your MTF limit per client now goes up to ₹5 crore. Useful if you’re scaling beyond the earlier ceiling and want to keep more positions under leverage without splitting across accounts.
- T+5 Orders for Short-Term Positions — hold positions for up to 5 trading days under CUSPA, without converting them to delivery. Built for the in-between trades where intraday feels too short but full delivery feels like overcommitting.
- MTF Market Insights on ScanX — monthly MTF rental trends, top stocks, and positioning data, surfaced inside ScanX Insights. A view that started from community conversations on MFT and now ships every month.
- Pledge Shares for Margin Benefit — pledge your existing holdings to unlock additional margin for trading. The cleanest way to put long-term holdings to work without selling them down.
- Margin Limits Enhanced for Pledged ETFs — ETFs you’ve already pledged now earn higher margin limits than before. Particularly useful if a chunk of your portfolio sits in index or sector ETFs.
- In-line Margin & Leverage Calculator — calculate the margin and leverage required for any trade, right inline as you place it. Stops the back-and-forth of opening a separate calculator just to size a position.
- MTF APIs on DhanHQ — execute MTF orders programmatically through DhanHQ APIs. For traders running automated strategies that need leverage built into the execution layer.
Kind Regards,
Pranita
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