Under SEBI's revised framework, pledged securities stay in your demat account. The pledge is marked for the broker, who uses a dedicated demat account called TMCM - Client Securities Margin Pledge Account (Trading Member Clearing Member).
The broker re-pledges these with the clearing corporation for margins. This ensures transparency and security, preventing misuse since securities remain in your account.
Was this article helpful?
That’s Great!
Thank you for your feedback
Sorry! We couldn't be helpful
Thank you for your feedback
Feedback sent
We appreciate your effort and will try to fix the article