What is Quarterly Settlement of Funds & Securities?


Quarterly Settlement is an exchange compliance (Exchange Circular: MIRSD/SE/Cir-19/2009 dated 03.12.2009) where un-utilized funds and securities in clients account have to be transferred to the client and account needs to be "settled" once in a period of 90 days.




Criterion For Settlement:

# For operational convenience circular states that accounts with balances less than Rs 10,000 ( Rs 50,000 for commodities ) are considered settled without having to transfer funds back to the client:

# Also as per exchange circular account is auto - settled without the need for transfer of funds / securities to client account if on any given day.
 
(a) If intraday /delivery turnover in cash segment is more than or equal to total funds & securities.
(b) Min. 50% of total margin deposited (cash + collateral) is used by outstanding FO position. 



Points to be noted:


# Clients securities lying in SAS POA Demat Account or any 3rd party Demat Account are not to be considered under the process of quarterly settlement as they are anyway lying in clients account and not with the broker.

## Clients securities pledged with SAS Online under Margin Plus also need to be settled so they need to be un-pledged and transferred back to clients demat account mapped with SAS Online. They need to be re-pledged for availing margin benefit.