Idle funds policy on Zerodha

Mon, 11 May 2026 00:00:00 +0000

Overview

Zerodha’s idle funds policy is the set of operational procedures by which the broker identifies and returns uninvested client cash to the client’s linked bank account after it has remained inactive in the trading account for a defined period. The policy implements SEBI’s client funds segregation framework, which requires brokers to maintain strict separation between client funds and broker funds, and which mandates the return of idle client balances to prevent brokers from using client cash for their own purposes.

Liquid fund margin (Liquidcase) on Zerodha

Mon, 11 May 2026 00:00:00 +0000

Overview

Liquidcase is Zerodha’s integrated facility that allows traders to invest funds sitting idle in their trading account into liquid mutual funds through Coin, Zerodha’s direct mutual fund platform, and simultaneously pledge those liquid fund units as margin collateral for futures and options (F&O) trading on Kite. The facility addresses a structural inefficiency in retail F&O trading: cash held as margin in a trading account typically earns no return, while the same amount invested in a liquid mutual fund earns money market returns while remaining available as collateral.

Idle Funds on WebNotes

Idle funds policy on Zerodha

Overview

Liquid fund margin (Liquidcase) on Zerodha

Overview