Quarterly Settlement Payout Process means that every three months,
according to SEBI Circular dated 27072022 , any money in your trading account
will be sent back to your primary bank account. This happens on the first
Friday of January, April, July & October for the Preceding Quarter. If
there is a trading holiday on that Particular Friday then the Quarterly
Settlement Payout happens on Previous Trading Day, Exchanges issue Circular for
revision in Quarterly Settlement Payout date in such cases.
Here are the key points:
· During this process, you can't punch any payout requests through the app or
website post 3:30PM.
· To avoid last-minute issues, it's a good idea to transfer money back to your
trading account before next trading day.
· You'll see a note about this payout in your account statement.
· You'll get a statement about this retention and an email once the settlement
is done. We'll also email you when the quarterly payout process for your
account is completed.
Important Point to Note:
· If you have open positions on this date, brokers can keep up to 225% of the
margin needed.
· For example, if you have Rs. 5,00,000 and buy 10 Lots of Bank Nifty, each needing
Rs. 30,000, the total margin is Rs. 3,00,000 (30,000 x 10). The broker has to
keep 225% of this as a balance, which is Rs. 6,75,000 (3,00,000 x 225%). If you
don't have that much, the broker keeps the entire amount in your account
without doing a Quarterly Settlement Payout for your trading account.