How does conversion to delivery impact Buying Power?
On converting a ‘Buy’ position to delivery, additional amount is blocked from your Buying Power to provide for 100% of the trade value of the converted quantity. On converting a ‘Sell’ position to delivery, the converted quantity is blocked from your Demat account. The Buying Power increases on account of release of the margin blocked earlier on the ‘Sell’ position and further on account of 100% of the sale proceeds of the converted quantity.
On converting a ‘Buy’ position under Margin to Delivery, additional amount is blocked from your Buying Power to provide for 100% of the trade value of the converted quantity. On converting a ‘Sell’ position under Margin to Delivery, the converted quantity is blocked from your Demat account. The Buying Power increases on account of release of the margin blocked earlier on the ‘Sell’ position.
