FAQs

  • What is SLB?

    • Securities Lending and Borrowing (SLB) is a mechanism through which investors can borrow or lend shares to other market participants. The platform provides a viable alternative to the derivatives market for purposes of hedging.

  • How do I get started?

    • 1. Check out the list of stocks listed here > https://www.nseindia.com/market-data/securities-lending-and-borrowing
    2. Filter by Series B expiry month
    3. Make sure you hold the stock mentioned in the list.
    4. If yes, we will place an order on your behalf. Call +91 81298 81100 from your registered mobile number or email us at slbm@acumengroup.in
    5. Our team will explain you the process.

  • Is it mandatory to submit POA?

    • Yes. It is mandatory to submit a copy of the POA. If you haven't please courier the POA to our head office. You can download the same from the downloads section in our footer.

  • What is the minimum and maximum contract duration for SLB?

    • A Minimum Contract is for one month and a maximum contract is for 12 months.

  • What are the benefits as a lender?

    • 1. Additional Income as you generate additional income from the idle portfolio.
    2. No minimum quantity that you could lend.
    3. You will be entitled to all corporate actions like dividends, bonuses, etc.
    4. No additional capital gain tax.

  • What are the benefits as a borrower?

    • 1. Carry out short selling which is not available in the derivatives segment.
    2. You can avoid an auction.
    3. It enables arbitrage opportunities
    4. Meet the obligation arising out of the physical settlement.

  • Where do I see the SLB opportunities available?

    • Click on the link to view the SLB opportunities: https://www.nseindia.com/market-data/securities-lending-and-borrowing. Filter by Series B expiry month.

  • Can NRI client do both lending & borrowing ?

    • No. NRI cannot participate in SLBM.

  • What are interest rate on Stock Lending and Borrowing?

    • The interest rate on securities lending and borrowing is not fixed and varies from stock to stock. The interest rate is also dependent on market conditions and the tenure of borrowing. As per SEBI, the maximum tenure for which stocks can be borrowed is 12 months.

  • What is Rollover, recall & repay option?

    • A Rollover is an option where client can rollover (shift) the current month position to next month. Recall is an option where client can recall the shares before the end of contract. Repay is an option used by borrowers to repay the shares before the contract expiry.

  • When will the shares leave lenders demat?

    • Shares lent will exit the lender's demat on T day itself.