InvestorQ : Can I also hold my F&O positions in my demat account?
Nisha Chandani made post

Can I also hold my F&O positions in my demat account?

Answer
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Angel dcosta answered.
2 years ago


This is another very important difference between a trading account and a demat account. You can use your trading account to buy and sell equities, buy and sell futures or even trade in options. Your equity trading account can also be used to trade currency futures. But equity futures, equity options, and currency futures do not impact your demat account. That is because these are just contracts and do not represent ownership of assets.
Since all F&O transactions in India are by default settled in cash, they do not impact your demat account at all. Only the profits and the losses on F&O trading are adjusted to your trading account. That is where you see the outcome of your trades. Of course, the scene will not change since stock futures in selected 46 stocks will necessarily result in delivery and hence they will start reflecting in your demat account only.