Liquid BeES as collateral margin on Zerodha

Wed, 01 Jul 2026 00:00:00 +0000

Overview

Liquid BeES is a liquid exchange-traded fund that Zerodha accepts as cash-equivalent collateral, which makes it a popular way to park surplus cash and still keep it working as margin. When you pledge Liquid BeES, Zerodha credits collateral margin against it, and because the ETF is cash-equivalent, that margin is usable in full and counts toward the 50% cash portion required for every overnight futures and options position.

That is the property that sets Liquid BeES and other liquid ETFs apart from ordinary shares as collateral. Pledge a stock and its margin can fund only half of an overnight requirement; pledge Liquid BeES and it can satisfy the cash leg outright, all while the parked money continues to earn. This article explains what Liquid BeES is, why it counts as cash-equivalent under the 50:50 cash-collateral rule , the haircut that applies, what happens to dividends while it is pledged, how to pledge it, what it costs, and why it cannot be sold instantly. For the surrounding process, see margin pledge mechanics on Zerodha and pledge and collateral margin on Zerodha .

Park idle cash in LIQUIDCASE ETF on Zerodha

Wed, 20 May 2026 00:00:00 +0000

Conflict-of-interest disclosure. This guide is published by webnotes.in for informational purposes and is written independently. It is not investment advice. WebNotes operates a Zerodha account-opening referral programme, disclosed on the pages that carry the referral link; this guide does not carry it.

Idle cash in a trading account earns nothing while it waits for the next trade. LIQUIDCASE is a liquid exchange-traded fund listed on the exchange that lets that cash earn a short-term money-market return while staying accessible on trading days. This guide covers what LIQUIDCASE is, how to buy and sell it on Kite, how to pledge it for margin, and the settlement and risk trade-offs to understand before using it.

Liquid ETF on WebNotes

Liquid BeES as collateral margin on Zerodha

Overview

Park idle cash in LIQUIDCASE ETF on Zerodha