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.
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.
Expect to hear more revisions on MTF & Intraday from us super soon! Until then, we hope this update helps you manage your positions seamlessly.
This is really epic. Congratulations @Pranita for the brilliant idea. I have always wanted to have such an option.
Just one scenario that I need an example of, let’s say I initiated a position in intraday on a stock, and at the EOD, I wanted to hold it overnight by converting it to MTF.
Would there be any additional charges for it? Brokerage remains the same for Intraday and MTF order types right?
Welcome to the Made For Trade Community. MTF charges are already available in the ledger. We are also working towards something that will help you see your funding details with further transparency. Do keep an eye out here for updates from us.
Hi @Pranita Since we now have the flexibility to convert Intraday positions to MTF, I have a question.
If I initiated all positions in intraday and only kept the positions that I wanted to carry over for tommorow, it should save on some interest costs of MTF for me?
Initiating a position in MTF gets charges on the daily rate, and if the majority of them was in intraday, I am saving interest. Please confirm. Thanks!
Not sure if i understood the question correctly but incase of MTF as well, interest will always be charged after settlement onwards that is T+1 day onwards. So it would not make any difference in terms of interest cost if you end up buying in MTF or Intraday.
Let me know if there is something else that you need to understand ?
One question if user can re-buy shares from delivery which he sold today. For example Stock hit Stop Loss today and it was a shakeout and stock rises again we can’t buy it again as we have sold it today. If possible please introduce this feature to buy shares again
Hi @Pranita - I’m unable to convert any intraday to MTF from the web. I am only able to find the option in the app. Is it only limited to app? Or, is there any pre-requistite steps to do it in the web? Thanks!
Tell me