Purchase Settlements Flow
| High Level FPI Transaction Flow- Derivatives Long (Purchase) |
| 1 | Remittance Instructions to Banker in home jurisdiction | Client | T-1/T |
| 2 | FPI informs Funds remittance | Client | T-1/T |
| 3 | Foreign denominated funds remitted to Bank in India | FPI's Bank Overseas | T-1/T |
| 4 | Request for placing buy Order | Client | T-1/T |
| 5 | Order Placed on BSE's Trading Platform | TM /CM | T |
| 6 | Order executed on BSE's Trading Platform | BSE | T |
| 7 | Executed order's details intimated to the client | TM /CM | T |
| 8 | Executed Trade details provided to the Clearing Corporation (ICCL) for Settlement | BSE | T |
| 9 | Trades made available to the Clearing Member for confirmation | ICCL | T |
| 10 | Trades confirmed to the Clearing Corporation (ICCL) | CM | T |
| 11 | FPI's Bank in India instructed to place collateral | TM /CM | T |
| 12 | Collateral placed with Clearing Bank | FPI's Bank in India | T |
| 13 | Clearing Bank confirms receipt of collateral to the Clearing Corporation (ICCL) | Clearing Bank | T/T+1 |
| 14 | Trade details are provided to the Tax consultant on final settlement | TM /CM | T+1/T+2 |
|
TM– Trading Member
CM– Clearing Member
* The days mentioned are indicative. For details on the days and the exact deadlines, please refer to your Custodian (DDP) /Trading Member (Broker)
Note:
The above illustration is where the Trading Member also Clears. In situations where Clearing is given-up by the trading member to another entity,
you are requested to contact your trading member for the process setup.
Daily Margin Mgmt:
Margins will be calculated for the positions held on a daily basis and adjusted against the collateral. In case of the collateral being insufficient to
cover required margins, the client will be expected to arrange for funds