As per the circular whenever you use your collateral limits to trad in FNO, the regulators require Clearing Member/Trading Member to maintain at least 50% cash or cash equivalents and the remaining 50% in terms of non-cash collateral (Approved by the Clearing Corporation [CC]) margin towards total margin requirements at any point in time.

Accordingly for F&O positions, we request you to maintain 50% margin in the form of cash or cash equivalents (collateral) and 50% in terms of non-cash collateral.

Exchange publishes a bifurcated list of the securities which it considers as CASH or NON CASH, which can be accessed by following the steps mentioned below:

1) Click Here to open the NSE circulars page

2) Search for 'Revised list of Approved Securities and Approved Banks'

3) Look for 'NSE Clearing Capital Market' under the 'DEPARTMENT' column

Hence in spite of you having pledged securities valued at more than the Margin amount, there can be a shortfall reported since your securities may be considered as Non - Cash securities by the exchange.

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