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What actions can be authorized by DDPI?
You can use DDPI for:
1. Transferring shares from your account to the broker’s account only for trades executed by you in the secondary market to meet pay-in obligations. In simple words, if you sell stocks on Arihant's trading platform, Arihant will be authorized to debit only those shares from your account for meeting settlement obligations towards the stock exchange.
2. Pledging/re-pledging of securities in favor of the broker to meet margin calls.
3. A mutual fund redemption order
4. Rights entitlement sell transactions
5. Corporate actions including buyback, offer for sale, takeover, and delisting
However, DDPI cannot be used for
1. Margin funding (POA only)
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