To help retail investors tide over their liquidity requirements, brokerage ICICI Securities on Monday said money for share sales of up to Rs50,000 per day would be deposited within 30 minutes. At present, it takes two days or more after the sell transaction for investors to receive the money into their accounts.
The facility will be available on 600 select stocks on the BSE representing 99 per cent of market capitalisation. It is offering it on BSE initially because the systems at Asia’s oldest bourse were best suited to start such a facility. MD and chief executive Shilpa Kumar said the firm would broaden the reach of the facility, hinting it will also eventually offer a similar facility for sales on NSE.
The brokerage has 42 lakh customers and the facility is available without any extra charge beyond the brokerage.
Vishal Gulecha, the head of equities at the brokerage, said there will be a cost which ICICI Securities will have to incur on account of depositing the amount upfront as the transaction actually gets settled in two days by the market intermediaries.He, however, added that this is a part of a long term strategy for the brokerage as it feels confident about getting more traffic through such a differentiated offering.
Users will have a separate tab to execute trades under the 'eATM' category launched Monday and the total amount which can be credited to a customer has been capped at Rs 50,000 per day.