Banks to stop collateral-free intra-day funding to brokers - Economic Times

Till now, such intra-day exposures to market intermediaries - unlike guarantees to a broker or longer-tenor loans to finance proprietary trades - were not considered as 'loan' to brokers. It largely remained a grey area as neither banks categorised it as capi…

Banks are being told by the regulator to end the decades-long practice of financing stock brokers during the day without collaterals. Intra-day funding, better known as 'daylight exposure' in bankin… [+4648 chars]

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