PROCESS NOTE
BANK GUARANTEE AS MARGIN DEPOSIT
The document outlays the process to be followed for Bank Guarantee against Margin Deposit. The policy defines the eligibility, charges and other details when availing of this facility.
Eligible Segments : Equity FO, Currency & Commodities
Minimum Amount : Rs.25 Lacs
Upfront BG Charges : 4% p.a. + Service Tax
(Non-Refundable)
Minimum Tenure : 1 Year
Documents Required : Equity FO & Currency Segment
1) Bank Guarantee favouring (format attached)
Emkay Global Financial Services Ltd.
The Ruby, 7th Floor, Senapati Bapat Marg,
Dadar (West), Mumbai – 400 028.
2) Consent Letter from Client (format attached)
Commodity Segment
1) Bank Guarantee favouring (format attached)
Emkay Commotrade Ltd.
The Ruby, 7th Floor, Senapati Bapat Marg,
Dadar (West), Mumbai – 400 028.
2) Consent Letter from Client (format attached)
Issuance : Issued by an Approved Bank (List attached) on a Non Judicial Stamp
paper supported with covering letter from the Bank.
Limit Set : Within 2 working days after receipt of BG by us.
Limit Withdrawal : Benefit of BG to the Client will be withdrawn if either Verification from the
issuing Bank is not received by us within 7 working days OR 10 days prior to the expiry date of BG.
Premature Withdrawal : Will be within 1 day after receipt of written request from the client.
Invoking : At sole discretion of Emkay for failure to adhere to all obligations.
Renewal of BG : Matured BG needs to be renewed with in 7 days from the date of the
expiry. Renewal / Amendment letter will be required from the issuing Bank else that particular BG benefit will be withdrawn permanently.
Other details : 1) Reminder Renewal to branch will be provided by us 1 month prior to
BG Expiry
2) M2M obligation has to be settled daily as per Exchange Regulations and cannot be adjusted against BG
4) DPC at applicable rates will be charged for keeping debits balance with Emkay.
5) All RMS policies related to trading needs to be adhere to.