Pledge list still not competent

General
1

@Upstox Even after allowing the pledging of mutual funds, your pledge list is still too restrictive compared to other brokers which makes it almost useless.

  1. Most mutual funds are still not allowed for pledging. When I say most. I mean 1000s of them.
  2. For whatever little is allowed for pledging, the haircut % is too high. Around 25%, seriously, a markup of 10-15% compared to what other brokers follow.
  3. Most Liquid mutual funds, such as money market funds are considered non cash whereas they are regarded as cash on other broker platforms.

Is this something that upstox is looking to address? If yes, by when?

2

@Akshit_Mahajan

Thank you for your feedback.

  1. Weā€™ve just launched mutual fund pledging at Upstox and aim to expand coverage to most funds by next week.
  2. Weā€™re re-evaluating haircut values, starting with reducing haircuts on cash-equivalent ETFs. Some of our haircut values are currently higher due to RMS policies, but weā€™re actively working to lower them where possible.
  3. Youā€™ll see many cash-equivalent MFs added next week as we continue to onboard them.

Hope this helps! Weā€™re committed to improving the margin pledge experience to better meet your needs.

Thanks again!

1 Like
3

This is the shifting experience to upstox from zerodha. Irrational haircuts!! I pledged reliance and it was showing 20% haircut. Today I see at 50% margin available. I donā€™t find a list of haircut on instruments!!

4

@Himadri_Goswami - The 50 % haircut charged in Reliance was only for today as it is undergoing a corporate action.

5

Okay, sorry for the confusion!!

1 Like
6

I was not even able to pledge Bharat Bond.
Thatā€™s the safest instrument.
Now tried HDFC FOF mutual fundā€¦even that is not possible.
Very disappointed, time to switch to other broker because of this

7

Hi @Ajinkya_Babar,

Welcome to the Upstox Community!

We appreciate your feedback and will make a note of it.