How does Convert to Delivery impact limits?
On converting a ‘Buy’ position to delivery, additional amount is blocked from your limits to provide for 100% of the trade value of the converted quantity. On converting a ‘Sell’ position to delivery, the shares for the converted quantity are blocked in your demat account. The limit 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.
