Hi Everyone,
Few weeks back we launched pledging of shares and equivalent scrips (Introducing: Pledge Shares for Margin Benefit - Product Announcements 🔈 - MadeForTrade) to extend more margin benefit to traders on Dhan. This pledge margin benefit helps traders a lot in risk and money management, and of course reduces the requirement of upfront capital when one has Shares & ETFs in their portfolio holdings..
We haven’t communicated much on this earlier, Dhan provides best in class pledge experience to its users - unmatched in the industry.
Some key highlights -
- Margin benefit from Pledge is available on all segments - Equity, ETF, Futures & Options (Buying & Selling), Commodities and Currency.
- Pledge Benefit you get across all exchanges - BSE, NSE and even MCX.
- Pledged shares always appear in your portfolio, and hence your portfolio will show your true value always.
- Pledge on Dhan is instant, and the pledge benefit is available for you through the entire trading week.
- In-line unpledge, when you sell a pledged stock - it is unpledged in the sell request itself automatically. There is no need to first unpledge, and then pledge it again.
- Pledge benefit is always available in real-time, and you can see hair-cut on every scrip in real-time as well.
Users can also pledge Exchange Traded Funds (ETF) & Sovereign Gold Bond (SGB) and get margin benefit, both in cash equivalent and non-cash category.
Following are the list of top pledged ETFs & SGBs, (as of April 2022).
Please note that Dhan Haircut is subject to change as per the exchange haircuts and our RMS policy. Please check this sheet for current haircut %
Cash Equivalent ETFs-
| Name | NSE Symbol | BSE VAR | NSE VAR | Dhan HairCut |
|---|---|---|---|---|
| ICICI Prudential Liquid ETF | ICICILIQ | 8% | 8% | 8% |
| DSP liquid ETF | LIQUIDETF | 8% | 8% | 8% |
| Nippon India ETF Liquid BeES | LIQUIDBEES | 8% | 8% | 8% |
| Motilal oswal 5Y G-Sec ETF | MOGSEC | 12.5% | 12.5% | 12.5% |
| Nippon India ETF Long term Gilt | NETFLTGILT | 8% | 8% | 8% |
| LIC MF G-Sec Long Term ETF | LICNETFGSC | 8% | 8% | 8% |
| SBI ETF 10Y Gilt | SETF10GILT | 12.5% | 12.5% | 12.5% |
| Nippon India 5Y Gilt ETF | NETFGILT5Y | 12.5% | 12.5% | 12.5% |
Top Non-Cash ETFs-
| Name | NSE Symbol | BSE VAR | NSE VAR | Dhan HairCut |
|---|---|---|---|---|
| Bharat Bond April 2023 ETF | EBBETF0423 | 8% | 8% | 8% |
| Bharat Bond April 2025 ETF | EBBETF0425 | 8% | 8% | 8% |
| Bharat Bond April 2030 ETF | EBBETF0430 | 8% | 8% | 8% |
| Bharat Bond April 2031 ETF | EBBETF0431 | 8% | 8% | 8% |
| ICICIPrudential Nifty ETF | ICICINIFTY | 9.25% | 9.27% | 9.27% |
| Nippon India ETF Juinor BeEs | JUNIORBEES | 9.29% | 9.31% | 9.31% |
| Kotak Nifty ETF | SETF10GILT | 8.85% | 8.86% | 8.86% |
| Motilal Oswal NASDAQ 100 ETF | NETFGILT5Y | 10.04% | 11.17% | 11.17%% |
| Nippon India ETF Nifty BeES | KOTAKNIFTY | 9.22% | 9.23% | 9.23% |
| SBI-ETF Nifty 50 | SETFNIF50 | 9.29% | 9.31% | 9.31% |
| Nippon India ETF Nifty Midcap 150 | NETFMID150 | 10.58% | 10.57% | 10.58% |
Cash Equivalent SGBs-
| NSE Symbol | BSE VAR | NSE VAR | Dhan HairCut |
|---|---|---|---|
| SGBAPR28I | 10% | 10% | 10% |
| SGBAUG24 | 10% | 10% | 10% |
| SGBAUG27 | 10% | 10% | 10% |
| SGBAUG28V | 10% | 10% | 10% |
| SGBAUG29V | 10% | 10% | 10% |
| SGBD29VIII | 10% | 10% | 10% |
| SGBFEB24 | 10% | 10% | 10% |
| SGBFEB29XI | 10% | 10% | 10% |
| SGBJAN29IX | 10% | 10% | 10% |
| SGBJAN29X | 10% | 10% | 10% |
| SGBJU29III | 10% | 10% | 10% |
| SGBJUL25 | 10% | 10% | 10% |
| SGBJUL27 | 10% | 10% | 10% |
| SGBJUL28IV | 10% | 10% | 10% |
| SGBJUL29IV | 10% | 10% | 10% |
| SGBJUN27 | 10% | 10% | 10% |
| SGBJUN28 | 10% | 10% | 10% |
| SGBJUN29II | 10% | 10% | 10% |
| SGBMAR24 | 10% | 10% | 10% |
| SGBMAR25 | 10% | 10% | 10% |
| SGBMAR28X | 10% | 10% | 10% |
| SGBMAY25 | 10% | 10% | 10% |
| SGBMAY28 | 10% | 10% | 10% |
| SGBMAY29I | 10% | 10% | 10% |
| SGBMR29XII | 10% | 10% | 10% |
| SGBN28VIII | 10% | 10% | 10% |
| SGBNOV23 | 10% | 10% | 10% |
| SGBNOV24 | 10% | 10% | 10% |
| SGBNOV26 | 10% | 10% | 10% |
| SGBNV29VII | 10% | 10% | 10% |
| SGBOC28VII | 10% | 10% | 10% |
| SGBOCT25IV | 10% | 10% | 10% |
| SGBOCT26 | 10% | 10% | 10% |
| SGBOCT27 | 10% | 10% | 10% |
| SGBOCT27VI | 10% | 10% | 10% |
| SGBSEP24 | 10% | 10% | 10% |
| SGBSEP27 | 10% | 10% | 10% |
| SGBSEP28VI | 10% | 10% | 10% |
| SGBSEP29VI | 10% | 10% | 10% |
Please note:
This list is as of date in April 2022, and this may change from time to time. For real-time benefit, you are requested to see this directly in the app or web.
A lot of what we’ve shipped around MTF over the years has come from listening to traders here. If you’re using ETFs as part of your pledge mix, here are a few related launches that might be useful:
- 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.
- 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.
- Convert Positions Between MTF, Intraday and Delivery — switch your open positions between MTF, intraday and delivery in a single tap. Lets a trade evolve naturally with the market rather than forcing you to close and re-open.
- MTF APIs on DhanHQ — execute MTF orders programmatically through DhanHQ APIs. For traders running automated strategies that need leverage built into the execution layer.
Kuldeep Mathur
Risk Management
