The Pledge Experience on Dhan

Trading Charts & Strategies 📈
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Hello Traders & Investors, :waving_hand:

We understand that maintaining margins for traders is important, and which is why pledging for margin has been a core part of Dhan since February 2022. Over time, we’ve introduced several industry-first experiences to help you unlock its full potential.

More recently, we also launched Mutual Funds in Demat format, allowing you to unlock margin benefits even from your existing MF holdings.

This post brings together everything you can do with pledging on Dhan and how it can make your trading experience more powerful using leverage. If done right, it allows you to stay invested while actively taking new positions in the market.

1. Usage of Margin Benefit from Pledging

Margin benefit on Dhan is designed to be fully usable across segments, across exchanges and without any restrictions:

  • Available for Options Buying and Options Selling
  • Works across NSE, BSE & MCX
  • Supported in Options, Futures, Cash & Commodities
  • Works across all order types including Market, Limit, Trigger, Super and Iceberg
  • Available on both Buy and Sell orders

2. Pledge & Unpledge: Features and Coverage

We’ve built pledging to be fast, simple, and widely accessible:

  • Margin benefit available across 1450+ stocks and mutual funds, among the widest coverage in the industry
  • Instant pledge experience with margin credited within minutes
  • Sell requests are seamless, even when your stocks are pledged
  • Weekend processing ensures holdings are released smoothly without impacting your trades

When you sell pledged holdings:

  • No manual unpledge required
  • Stocks are automatically unpledged as part of the sell flow
  • You simply place the order with no extra steps

Additionally:

  • Bulk pledge allows you to pledge your entire portfolio in one go
  • Bulk unpledge offers the same ease without manual effort

3. Discover High Margin Stocks & Mutual Funds

To make pledging more actionable, we’ve also built a Discovery section within Dhan.

Here, you can:

  • Explore stocks and mutual funds with high margin eligibility
  • Identify instruments that can give you better collateral value
  • Make informed decisions on what to accumulate if your goal is to use leverage

This helps you move from just using pledging as a feature to planning your portfolio with margin efficiency in mind.

4. Experience Built for Traders

We’ve focused on making the experience transparent and predictable at every step:

  • View expected margin benefit on your entire portfolio (Stocks +MF) in real time
  • Check exact margin benefit and applicable haircut on each scrip page
  • Pledged holdings always remain visible in your portfolio, reflecting true ownership at all times
  • During unpledge, holdings remain visible without disappearing and reappearing later
  • Selling pledged holdings feels exactly like selling regular holdings, with no additional steps

5. Use Collateral for MTF Trades

Pledged holdings can also be used as collateral to take MTF (Margin Trading Facility) positions.

This effectively gives you an additional layer of leverage:

  • You continue to hold your existing portfolio
  • You unlock margin from it through pledging
  • That margin can then be used to take MTF positions

In practice, this means you are able to build larger positions using your existing capital base, without liquidating your investments.

Pledging on Dhan is built to be simple, fast, and usable across your trading journey. Whether you are looking to take additional positions, use collateral for MTF, or plan your portfolio around margin efficiency, everything is designed to work seamlessly when you need it.

Pledging is one of those features that quietly unlocks a lot of what’s possible on Dhan — from MTF trading to higher margin limits on certain holdings. A lot of how it works today has been shaped by feedback from traders in this community, and we’ve kept building on it. Sharing a few related launches that pair naturally with the pledge experience, in case any are useful:

  • Pledge Shares for Margin Benefit — the launch post explaining how pledging works on Dhan in the first place. Useful as a starting point if you’re new to the idea — covers what stocks are eligible, how the haircut works, and how the unlocked margin flows into your trading limit.
  • Mutual Fund Pledging on Dhan — pledging now extends beyond stocks to your mutual fund holdings. Particularly useful if a meaningful chunk of your portfolio sits in MFs and you’ve been wanting to put that capital to work without redeeming.
  • Margin Limits Enhanced for Pledged ETFs — ETFs you’ve already pledged now earn higher margin limits than before. Worth knowing about if you hold index or sector ETFs as part of your long-term portfolio.
  • Margin Trading Facility (MTF) on Dhan — the MTF launch post, since pledging is what unlocks additional margin for MTF positions. Worth reading alongside this if you trade with leverage on Dhan.
  • MTF Now from as Low as 12.49% p.a — MTF interest rates on Dhan now start from 12.49% per annum. Worth factoring in when you’re deciding how long to hold a pledged-margin position — lower rates change the math on carrying trades longer.
  • In-line Margin & Leverage Calculator — calculate the exact margin and leverage you’ll have available for any trade, right as you place it. Stops the back-and-forth of estimating what your pledged holdings unlock for a given setup.
  • MTF Limit Increased to ₹5 Cr — your MTF limit per client now goes up to ₹5 crore. Useful context if you’ve been scaling your pledged-margin trades and the earlier ceiling was holding you back.
  • Convert Positions Between MTF, Intraday and Delivery — switch open positions across position types in a single tap. Useful when a leveraged trade evolves and you want to convert it without closing and re-opening.

Explore it on the Dhan App and Web.

Thanks,
Saurav Parui

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