Zerodha's new policy: Sell stocks, get full proceeds instantly
Leading online brokerage firm Zerodha has announced a major policy change. The company now guarantees that 100% of the proceeds from share sales will be immediately available for trading. The update was shared with investors in a post on X. Earlier, traders could only access 80% of their sale proceeds instantly while the remaining 20% was held back for upfront margin requirements and released the next day.
A closer look at the policy change
Under Zerodha's old policy, if a trader sold 100 shares of a company at ₹1,000 each, they would initially receive only ₹80,000. The remaining ₹20,000 would be made available to them the next day. However, with the new policy in place, traders will now receive the full amount of ₹1 lakh immediately after selling their shares. This will improve cash flow and allow investors to quickly reinvest their funds.
100% of sale proceeds to be credited the same day
New policy not applicable for BTST trades
However, Zerodha's new policy doesn't apply to Buy Today, Sell Tomorrow (BTST) trades. In these transactions, the entire return will only be available for trading on the day after the sale. BTST is a trading strategy that enables investors to buy shares and sell them on the next trading day, taking advantage of short-term price fluctuations without having to hold onto shares for long.
