Introducing CashPlus-Your Big Trade Partner!

At SAMCO, we have been in the brokerage business since 1993, and understand every client’s requirement.

We have often been asked if a client could buy shares today & make the payment at a later date.

We can now proudly say that SAMCO today is the ONLY DISCOUNT BROKER IN INDIA where clients can get their delivery trades funded!

Equity Delivery Leverage Calculator | Margin Funding on Stocks

CashPlus – Your Big Trade Partner!

First, let us explain why we took this step, Brokerage charged in the Industry earlier used to comprise of 3 major components:

  1. Execution-For the cost of execution of trades at exchanges.
  2. Interest- Some clients needed a few days to make payments for their share purchases & brokers HAD to charge interest to cover their working capital costs.
  3. Advice- Clients needed advice on what to buy and brokers had to hire an army of analysts to churn out research reports which may or may not have been used by the clients.

The above 3 were bundled into a percentage rate irrespective of whether clients opted out of availing one or more of these services. The sad part was that all clients were penalized with Interest, even if they could make the payments upfront.

At SAMCO, our aim is to decouple execution, interest costs & advice which is the precise reason for our flat fee charge of Rs.20 per trade, while adding tools such as our Risk Adviser, SAMCO Stock Ratings, and SAMCO Databank among others to provide investment guidance.

With a flat fee brokerage & our innovative tools, we took care of execution & advice as listed above, but some clients did need to get their delivery trades funded for a few days, till they could arrange for the funds.

Now with SAMCO CashPlus, a client can buy shares worth up to 4 times the funds in their Trading Account with SAMCO!

With CashPlus, you can carry forward your Delivery Trades Ad Infinitum as long as your margins remain within the prescribed limits.

So how do you start trading with CashPlus?

  1. You must login to your SAMCO Back Office & subscribe for CashPlus. There is a yearly subscription fee of Rs.1,000 to use CashPlus. You must accept the Terms &  Conditions before subscribing.
  2. Calculate the amount of shares you can buy with the funds in your account using the CashPlus Leverage Calculator.
  3. Then login to your Trading Account as usual.
  4. Select the share you want to take delivery of & instead of using product code-“CNC”, use the product code-“NRML”.

Note: In case of Call-N-Trade, kindly inform the Dealer that you are using CashPlus & ask him to place an order using the “NRML” order code.

Stocks bought on the NSE can be sold only on the NSE & stocks bought on the BSE can only be sold on the BSE.

Effects of all Corporate Actions such as Dividends, Splits, Bonus Shares etc will accrue to the Client i.e. YOU.

Note that short-selling is prohibited under the CashPlus product.

You can check your CashPlus Margin Positions in trading terminals in the “Net Position Window” and in the Portfolio Tab of the SAMCO STAR Back Office

Converting Positions:

  1. Converting Intraday Positions to Margin Positions: To convert Intraday Positions, use the Position Conversion window & change the positions to “NRML”.
  2. Converting Margin Positions to Holdings: You need to sell these margin positions under the “NRML” code and buy the stock using the “CNC” code by blocking 100% margins.

SAMCO Charges

Brokerage for CashPlus will continue as usual i.e. lower of Rs.20 or 0.02% (Intraday Trades)/0.2% (delivery).

You will be levied a charge of 0.05% per day every day on the Debit balance in your account. No charges will be levied in case of Zero or Credit Balances.

SAMCO will send you a day wise Interest Charged report for your records at the end of each month.

Margin Calls & SAMCO Risk Management Policies

We shall inform you of any margin shortfalls by SMS & E-Mail. Do ensure that your Trading Account is adequately funded to avoid any liquidation of positions by SAMCO.

You shall also get a summary of your ledger debit daily. Also note that SAMCO will liquidate your positions if there is inadequate margin & the Mark-To-Market Losses in your trading account exceed 80%.

CashPlus can be used only for Equity Delivery trades. You cannot use CashPlus in the Equity or Commodity Derivatives segment.

You can also refer Frequently Asked Questions on the CashPlus product.

So head to the STAR Back Office to activate CashPlus.

And if you aren’t a SAMCO customer, go ahead & open an account with us!

Account opening is free & we’ve even waived off the First Year DEMAT AMC!

14 comments

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  1. umang

    Would you do a MTM for this product? For example there is a 5000 debit balance, and the position rises by Rs 100 would the debit balance continue to be 5000 or 49000 (all things equal).
    Also would there be a minimum limit (say one needs to buy minimum 25000 worth of stock using CNC facility)

    • There is no MTM credit in the CashPlus product.

      You’re Ledger Debit is an actual debit number and will continue to be so. In your example, it will continue to be Rs. 5,000. Unrealised gains are not credited.

      There is no minimum limit. You can avail of the facility to even buy stock of Rs. 100.

  2. Riyaz Pasha

    I am a Samco Star account user, User id-DR10461.
    See, My Question is how the charges will levied on the balance of 50,000.
    Example : I have 50,000 INR in my account
    Want to use the CashPlus code ‘NRML’ to buy Equity Share’s of Renuka(Price is 14.00).
    So in this i will get funding of 50,000 from Samco i.e. 2x.
    Now the question is the when should funding amount get returned to you, what is the procedure, and do i need to deposit the funding amount in to my Samco Star account as soon as possible or can you people(Samco) will wait till i sell the Equity share’s of Renuka which i have bought under Cashplus subscription…?
    Also please tell what is this ‘Margin’ represent in your “Equity Delivery Leverage”…?
    Should i get any interest charged on Funding amount…?

    Please do reply

    Riyaz Pasha

    • The way this is functions is simple

      1. In case you buy 1L worth of Renuka shares, your ledger debit will be Rs. 50,000. So interest will be applicable on this 50,000 only. Interest is charged at 0.05% per day of outstanding debits so that would be roughly Rs. 25 per day.

      2. There are 2 ways you can re-pay this amount, by selling shares of Rs. 50,000 and you’re ledger will go back to zero OR you can bring in funds of Rs. 50,000 and your ledger debit will be NIL and therefore no interest will be applicable.

  3. VINU MENON

    SIR,
    I HAVE SOME FUND IN MINE A/C , FOR WHICH I BOUGHT SOME EQUITY, AND I LOT OF FUTURE.HOW WOULD I KNOW THAT HOW MUCH OF MINE FUND IS BEING USED , SO THAT IF I WANT TO BUY SOME EQUITY WITH CASH PLUS

    • In our Trading Terminals, View your RMS Margins and Cash Available on Account – Check Video on “Viewing RMS Margin/Capital/Limits in SAMCO NEST Trader” – https://www.samco.in/samco_trader_video

      The Margin available for trading in your account is Cash Available – Margins Blocked. That’s the amount you can use to buy stock, initiate cashplus positions or even futures positions.

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