Yes, you can use shares in your Demat account as collateral to increase your trading limits and trade in currency derivatives. This is often referred to as pledging shares or using "margin against shares".

Pledging Shares:

You can pledge the shares you hold in your Demat account as collateral with us for the lmits, please go through anyof the steps given below:

Web Portal: Click here to know the steps

RING Mobile App: Click here to know the steps

Creating Trading Limits:

By pledging shares, your broker will create a trading limit for you, which you can then use for trading in the currency derivatives segment.

Trading Currency Derivatives:

This allows you to trade in currency futures and options without needing to deposit a large amount of cash upfront.

How it works:

You specify the shares you want to pledge.

Your broker will calculate a margin amount based on the value of the pledged shares.

You can then use this margin to trade in currency derivatives.

Example

Let's say you have shares worth Rs 1,00,000 in your Demat account. Your broker might allow you to use a portion of that value as margin for currency derivatives trading.

You can then use this margin to take positions in currency futures and options.

Benefits:

Leverage your existing portfolio to trade in currency derivatives.

Diversify your investments.

Increase your returns.