For Quick Alerts
ALLOW NOTIFICATIONS  
For Daily Alerts

6 Top Margin Funding Stocks To Buy For Good Returns For May 2022 By ICICI Direct

|

Besides deploying your capital for earning, you can also put to use the margin financed from institutions but this is highly risky and should be engaged in only after careful thought.

 

What is Margin Funding?

What is Margin Funding?

Margin is the money borrowed from the brokerage firm to buy any security and is the difference between total value of an investment and the loan amount. It is a practice wherein the borrowed funds are used from a broker for trading a financial asset and during the same the security functions as the collateral for the loan from the broker.

Points to note when engaging in margin trading
 

Points to note when engaging in margin trading

Margin trading can be both for intra-day trades and taking delivery positions. And as it is like trading on borrowed fund, you need to be further more careful.

In case of intra-day trades, you need to engage in putting in the stop loss as that is certainly not avoidable. There should be no effort to try and average positions if the price movement of the security works against you.

Also, keep booking profits and this way try and continue to reduce your positions.

Be responsible for the margin trading positions and set a limit on time and close out within that time limit. Also, continue to monitor your margin trading positions taken.

For margin trading, you certainly cannot put bet on stocks that are either static or too volatile.

Also, be mindful of your total cost and the breakeven for your position. There are other costs to the margin funding like administrative charge, DP charges and processing charges which are in addition to interest.

6 Top Margin Funding Stocks To Buy For Good Returns For May 2022 By ICICI Direct

6 Top Margin Funding Stocks To Buy For Good Returns For May 2022 By ICICI Direct

DateScript NameBuying rangeSupportTargetMarket Cap(In Crs)200 Days EMA52 WeeksYTD Returns(%)
20-May-22Reliance Industries2520-257023902760173482224242856/19308
20-May-22ITC275-281257305344805234282/20128
20-May-22Adani Ports745-770710820162051740924/6385
20-May-22Mahindra & Mahindra880-910835980112484832979/6718
20-May-22Bharat Electronics228-23521525657187204259/14111
20-May-22Indian Hotel217-22320524431689198269/11123

Read more about: stocks to buy shares to buy
Company Search
Get Instant News Updates
Enable
x
Notification Settings X
Time Settings
Done
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X