Why dhan is not providing leverage to trade in G-sec or T-Bill for intraday?
Hey @devil_trader ,
G-Secs & T-Bills usually have lower volatility and liquidity, so we currently don’t offer intraday leverage on them, as per our risk policy.
@PravinJ @Mrunmayi_Vaity if this is the case so why leverage is available for microcaps where liquidity is close to nill?
Sorry, but I had to chip in here. Liquidity in microcaps is undoubtedly lower, but it is certainly not non-existent. As someone who trades equities purely from a swing-trading perspective, I can speak from firsthand experience.
I think the statement is a bit too broad, because liquidity varies significantly across individual stocks. Yes, there are certain microcaps with extremely low volumes, some even lower than G-Secs, but that is not representative of the entire segment. Most reasonably established microcaps, particularly those within the top 1,300 stocks by market capitalisation, generally have sufficient liquidity for regular trading.
I trade fairly significant volumes in this space myself, so this is based on practical experience rather than just a theoretical viview.
As for Dhan, I have greater confidence in their RMS policies because they seem to strike a reasonable balance between providing customers with adequate exposure and managing risk for both the customers and the broker.
Dhan, at least in my experience, is not like the rather “fake philosophical and hypocritical” major brokerage.