AboutMargin Trading Facility (E-Margin)

Margin Trading Facility, popularly known as Buy Now Pay Later or E-Margin facility, boosts your buying power by letting you buy up to 4x stocks. So, the problem of insufficient funding gets eliminated while you place a delivery trade.

Features ofMargin Trading Facility

Trade with margins as low as 25% and carry forward your positions up to 365 trading days.

Get up to 4x Leverage with Margin Trading Facility (E-Margin)

Available for 700+ Stocks

Interest rates as low as
0.04%* per day

Expert Suggested Ideas

How doesMTF Trading work?

SBI Securities allows you to take positions on stocks by funding up to 75% of the stock value

You have Rs. 10,000

You select E-Margin

SBI Securities adds up to Rs. 30,000*

You take position of up to Rs. 40,000

Things to keep in mind

Convert to Delivery

You can convert your position(s) to delivery by paying additional funds whenever you want

Full Dividend Benefit

Entire Dividend for MTF stocks will be passed on to you

0% Interest

Enjoy 0% interest for 23 trading days

Max Holding Period

Square-off your position(s) on or before 365th Trading day=~520th Calendar day

Enjoy up to 4x buying power at 0% interest

How to place MTF trade?

Frequently Asked Questions

E-Margin (MTF) is the margin trading facility provided by SBI Securities. You can purchase up to 4 times the number of stocks by just paying the price for 1 stock. The additional funds needed to buy the extra stocks will be provided by SBI Securities.

Margin is the difference between the total value of an investment/trade and the loan amount. It represents the minimum amount of your own capital required to secure the loan from the broker and maintain your position.

A margin call is an alert from your broker notifying that your borrowed money needs a top-up. This could happen for several reasons, like the value of your stocks purchased using E-Margin (MTF) falls below a certain level (maintenance margin), the E-Margin stock’s volatility has increased, change in stock value due to corporate actions, etc. The broker may ask you to deposit more money or sell some shares to maintain the margin requirement. Failure to do so could result in the broker selling your shares to recover their loan.

The interest charge is as low as 0.04% per day, applied after the 23rd trading day. These charges vary for all users based on the brokerage plan they have selected.

Yes, margin trading with SBI Securities is safe and secure. Like any other trading/investing opportunity, it has pros and cons:
Pros:
  • Increased buying power: E-Margin lets you buy more shares with the same amount of capital.
  • Higher potential returns: With E-margin your profits magnify if the stock price goes up.
Cons:
  • Potentially amplified losses: If the stock price falls, losses will also be amplified.
  • Interest Charges: When you borrow money, you will have to pay interest charges on the amount borrowed.