Vogue Commercial Co. Ltd

FAQs

Margins and Leverage

What is margin?

It is defined as more purchasing power, than you possess in your account, provided by your broker. Exposure and margin are interchangeable terms. If the broker provides you with '2x exposure' that is the same as saying that he provides you with '50% margin'.

What is exposure?

An exposure in the stock market is the sum total of all trades that have not yet been settled in the cash segment, or the sum of the potential losses in a particular sector. Futures and options positions need to be settled before profit or loss amounts can be determined. Financially, exposure refers to the potential loss a trade may suffer if a trade fails. It is the sum of investments, liabilities and settlements.

Define exposure multiplier?

A multiplier of exposure in the Cash segment represents the amount of exposure that can be made based on the availability of Cash margin or stocks in the margin account of the broker. Any order must first be executed by the broker.

What is total deposit?

The total deposit represents the total amount of money from you that you have deposited with the broker, and it is only available in cash.

If the margin usage exceeds the available margin in my Voguestock account, what will happen?

The Voguestock team will notify you via email and SMS if a margin shortfall occurs in your account. To address margin shortfall, you need to add funds to your Voguestock trading account. You will get a notification in the inbox section where you can add funds to maintain the position or close it.

Which Voguestock trading segment provides the MTF in Voguestock?

Voguestock offers the benefits of margin trading facilities only for the equity delivery segment. With Voguestock MTF (Margin Trading Facility), you can increase your purchasing power and leverage up to 2.

What should I do if I receive a margin call?

You should add / close positions as soon as you receive the Margin Call Notification. If you do not add the required funds or leave the position, the risk management system will balance the position at its discretion.

By when should I take action if I receive a margin call?

When your margin utilization exceeds the available balance, the risk management system sends margin call alerts. If you receive this warning, you must either add money or leave your position immediately. If you do not add the required funds, your position will be balanced at the discretion of your risk management system.

What will happen if I don't cover the margin call?

To keep your position, you need to add funds to your trading account. Otherwise, the position is balanced by Voguestock. If the position is not squared, a margin penalty imposed by the exchange will be given to you (this will be reflected in your ledger).

What should I do to avoid margin shortfall penalties?

Keep alert of the margin requirements. You can view any shortfall to your finances from the Voguestock mobile app or internet platform. You can view the shortfall on the ‘Funds’ display screen below the ‘Available to Trade’. If the quantity right here is negative, you then definitely are in a shortfall. In case of a shortfall, please upload finances on your account immediately. You can upload finances right away on Voguestock thru UPI/NEFT/RTGS/IMPS or via way of means of the usage of Smart Transfer.

What are peak margins?

Peak Margin is the minimum margin that a broker must collect from a client before placing a day / delivery order in the cash and derivatives segment. The clearing company randomly creates four snapshots in a predefined time frame to reach these maximum margin requirements for open positions during the day. The maximum margin requirement from these four snapshots is the peak margin. This is intended to reduce excessive leverage over daytime and derivative positions.

Holdings

When will my Stocks/shares come into my Demat account?

Stocks/stocks purchased as cnc (delivery) will immediately start appearing in section

Trade → Holdings.
since the settlement cycle for shares in india is 1 days (t1), they will only be reflected in the demat account One business days from the date of purchase.

What does the active and inactive section represent on the Holdings page?

The Trade Holdings page allows users to view their acquired equities. The Active and Inactive sections of the Holdings pages are separated.

Active: This section shows all of the user's stocks that are currently trading. Users can either buy or sell these Stocks/Holdings in this way.

Inactive: All stocks acquired by the user that are currently not tradable are displayed in this area. It signifies that the Exchange has temporarily halted trade in these equities.

What is P&L and where do I check the P&L of my holdings?

The overall profit/loss for the Stocks/Holdings is referred to as the P&L. It will display the unrealized profit/loss for the stocks in your Demat account that are currently available.

  1. The P&L can be seen under Trades-> Holdings.
  2. All of the Stocks will be displayed on the Holdings tab, along with their corresponding P&Ls.
  3. Users can also look at the detailed P&L for a stock by selecting the stock to look at the P&L for.
  4. When you pick a stock, the Holding information page appears, displaying the overall P&L, the P&L for that day, and the P&L % for that stock.

What is the impact of corporate actions on portfolios?

Corporate actions, such as bonuses, splits, dividends, mergers, demergers, schemes of arrangement, and reduction of capital, are supported. Corporate allotments (as per the pre-defined ratio) are reflected as entries on the portfolio (based on CA type, i.e. split-->buy entry will reflect, consolidation will reflect sell entry) with 0 price. In portfolio, there is a remarks column which displays what corporate action has been applied.

Can i sell my stocks bought from the nse on the bse and vice versa?

The nse and bse do not allow stock purchases and stock sales to take place on the same day. after t+1 days, stocks purchased from the bse can be sold in the nse and vice-versa. because, stocks are added to your demat account (holdings) later t+1 days. remember: this is dependent upon accessibility of the stocks on the chose exchange. a few stocks might have recorded on nse however not on bse as well as the other way around.

What are Demat and T1 Holdings?

Suppose you purchased some equities on Tuesday, the shares will delivered to your Demat account on Thursday. It is only possible if all day’s working days.

T1 Holdings are shares that have been purchased from the Exchange but have not yet been delivered to your Demat account due to the T+1 day waiting period. Because the shares were purchased on Tuesday, they will be listed as T1 Holdings under your Holdings on the next working day, Wednesday.

All your shares which have effectively finished this T+1 days agreement cycle may be indexed below the `Demat` section. This means that the inventory has been effectively credited on your Demat account.

Positions

What information shall I get in the ‘Positions’ tab?

The Positions tab displays all positions or trades created during a specific trading session, as well as derivative positions (futures and options). Individuals can also view unrealized P&L for specific positions.

Where can I check my positions?

You can view all open and closed positions and their status in the Positions tab of the Trading menu.
Open positions are positions that have not yet been leveled. Close positions are the ones that are exited or closed.

What does the ‘Margin Required’ amount on the order window mean?

There is a function in the order window that displays the margin required for the trade before placing an order. The required margin is updated in real time based on the selected product and order type. For futures and options positions, the margin required for the order is determined after taking into account the margin if there is a hedge open position. In addition, the required margin when leveling a position or closing a position should be displayed in the order window. This means that the margin used will increase by this amount after this interval is closed. Occasionally you will find slight differences between the fields displayed in the Fields pane and those locked in the terminal.