MCCIL has put in place robust risk management system to mitigate the settlement risk. The liquid assets placed by the members with exchange /clearing corporation as collateral plays a significant role in risk management.
Initial margin: The initial margin shall be charged on the gross open position of member participating in retail market as under:
Collection of Initial Margin:
Mark to Market (MTM) margin:
Margin shall not be applicable for the Institutional Market, RFQ and reported deals which are settled under DVP-I settlement.
A member can avail the margin exemption by choosing securities and funds early pay in option. The early pay in of securities and funds give an opportunity to member/clients to deliver the stock/funds before the settlement date and release the blocked margin for utilization.