Trade Smart online launches margin funding product - ‘EquiMax’

Under ‘EquiMax’, a customer will get an exposure up to four times of the cash balance for delivery. For example if a customer has Rs 1 lakh in his or her account, then he or she can leverage its position and still buy stocks up to Rs 4 lakh. This facility will be currently available only on the NSE Cash segment.

Debit balance arising out of such funding will attract an interest of 0.05% per day.  If there is no ledger debit at the end of the day, no interest will be charged. The facility will be available on Desktop, Mobile and browser versions of the trading platform.

With EquiMax customers will enable clients to avail temporary and long-term funding in the cash market purchases. It will allow them to get margin funding for their stock purchases and that too by paying for it separately. 


After the recent increase in lot size in the Future & Option segment, EquiMax will make it easier for smaller traders/hedgers to trade in the market.

The launch of ‘EquiMax’ will, in a way, complete the service offering from Trade Smart Online. 


“With a discount broker and EquiMax, we now have perfect combination of two unbundled services that customers can pick and choose. Customer now will end up being the king,” said Vikas Singhania, Executive Director, Trade Smart Online.

Buying on margin is basically borrowing money from a broker to purchase shares. Simply put, margin funding could be considered as a loan from your brokerage. It would allow you to buy more shares than you would otherwise be able to do normally.

Margin funding business in India today is roughly estimated at $1-billion industry, which is entirely owned by traditional brokerage houses.

Vikas Singhania said, “We would leverage on the Rs 50 crore fund size, with borrowings from banks and NBFCs, and are targeting an Rs 200 crore book size by March 2017.