A T-PIN (Transaction PIN) is a secure password provided by CDSL (Central Depository Services Limited). It’s required to authorise the sale or transfer of securities, including mutual fund units held in Demat mode. This step ensures that only you can approve transactions from your account. For Existing millions Users Your T-PIN for mutual fund redemptions is the same one you already use for selling stocks. For New Users Go to the redemption page in the millions app. Click on “Generate T-PIN.” Enter your BO ID (Beneficiary Owner ID) your unique Demat account number. Verify your identity using an OTP. You’ll receive your new T-PIN via SMS from CDSL. Pro Tip To avoid entering your T-PIN for every redemption, you can enable DDPI (Demat Debit and Pledge Instruction) in your millions account for hassle-free transactions.

According to SEBI regulations, your KYC (Know Your Customer) must be validated by a KYC Registration Agency (KRA) before you can invest in mutual funds. This is a mandatory step to verify your identity and financial details. If your KYC is not validated, your transactions will be restricted, and you will not be able to place an order. To validate your KYC and start investing: Go to the KYC section of the millions app. Enter and verify your PAN details and provide your consent for validation. Your KYC will be processed and validated within 2-3 business days. Once your KYC is successfully validated, you can start investing in mutual funds without any restrictions.

A Transfer Out order means the ownership of your mutual fund units has moved out of your Demat account. This is not the same as redemption and usually happens in the following situations: Common Reasons: Outstanding Dues / Negative Ledger Balance: If you owe money in your trading account and don’t clear it on time, your broker may recover the amount by liquidating your holdings. Pledged Units Invoked: If you pledged your mutual fund units as collateral for margin and failed to maintain the required balance, the broker is authorized to invoke (sell) those pledged units. In this case, the units are transferred to the broker’s Demat account to settle the shortfall. Important to Note: Such forced transfers are typically referred to as a “shortfall adjustment.” To avoid this, regularly monitor your ledger balance and pledged holdings.

No, you cannot pledge mutual fund units on Millions as they are held in SOA (Statement of Account) format. Pledging is only possible when units are in demat form.

No, you do not lose ownership of your mutual fund units when you pledge them. Pledging is simply the process of using your units as collateral to avail margin benefits. Your units remain safely in your Demat account, but they are temporarily locked and marked as "pledged." Here is a breakdown of what happens: You Retain Ownership: You remain the legal owner of the units and continue to receive any dividends or distributions. Units Are Locked: The pledged units are marked as such by the depository, signaling that they are being used as collateral. They cannot be sold or redeemed until they are unpledged. No Impact on Performance: The pledged units still participate in the market as usual, and their value will fluctuate based on the fund's performance. You have the freedom to unpledge your units at any time, as long as you have sufficient margin available and no outstanding trading obligations.

The margin benefit you receive when pledging mutual funds varies because it is based on the risk and volatility of the specific fund. The margin is determined by a haircut, which is a percentage reduction applied to the fund's value. The haircut is set by the clearing corporation and is influenced by these factors: Fund Type and Risk: Higher-risk funds, such as small-cap or sectoral equity funds, are more volatile and are therefore assigned a higher haircut. This reduces the margin you receive and protects against market fluctuations. Liquidity: Funds that are highly liquid and easy to sell are considered safer collateral and receive a lower haircut. Regulatory Norms: The haircut percentages are also influenced by regulations set by SEBI and the clearing corporation to ensure market stability and protect investors.

Pledging is the process of using your existing investments like stocks or mutual funds as a guarantee to get additional buying power for trading. Think of it like a secured loan: you use something you already own as collateral to unlock new opportunities, but you don't actually sell it or give up ownership. How It Works You Pledge Your Holdings: You choose eligible investments from your portfolio to use as collateral. These units are then temporarily locked. A Haircut is Applied: A "haircut" is a risk-based percentage deducted from the total value of your pledged investments. For example, if you pledge a mutual fund worth ₹10,000 and the haircut is 10%, you will receive a margin of ₹9,000. You Receive Margin: The value of your investments after the haircut becomes your margin, which is the extra amount you can use for trading. You Retain Ownership: Even though your units are pledged, you still own them and receive any dividends. They are simply locked until you "un-pledge" them by settling your trading obligations.

Not all mutual fund schemes can be pledged, and this is due to several key factors: Exchange Approval: Only schemes that have been officially approved by the exchanges and clearing corporations are eligible for pledging. Holding Mode: If your mutual funds are in SOA (Statement of Account) Mode, they cannot be pledged because they are held directly with the AMC, not in a Demat account. Lock-in Period: Schemes with a mandatory lock-in period, such as ELSS (Equity-Linked Savings Schemes) or certain retirement funds, cannot be pledged until their lock-in period has expired. Fractional Units: Units less than one cannot be pledged, as this is not supported by the depository. You can find the complete list of pledgeable mutual fund schemes directly within the millions platform.

No, you cannot pledge and unpledge the same mutual fund units on the same day. This is because the pledging process involves procedural steps with the depository that require time for confirmation. You can only unpledge your mutual fund units on the next business day after the pledge request has been successfully confirmed.

The margin obtained from pledging mutual fund units on millions can be used across various trading segments, giving you greater flexibility. The segments where you can use this margin include: Equity: For buying and selling shares. Futures & Options (F&O): For trading derivatives. Commodity: For trading commodities.