Members are permitted to pledge Liquid (Group I) Equity Shares in demat form deposited with approved custodians as collateral towards liquid assets. A deed of pledge is required to be executed with the custodian in specified formats. The Clearing Corporation may revise the list of approved securities and the haircuts from time to time. Members who have deposited securities which have been discontinued from the list of approved securities, shall be required to take due care to replace such securities.

Valuation
The securities are valued based on the closing price of the security at NSE. The value of the securities is reduced by such haircut as may be prescribed by the Clearing Corporation from time to time to arrive at the collateral value of the security. The hair cut applicable shall be the VaR margin rate applicable for the respective security. Only the value net of applicable haircuts shall be considered as the value of the securities pledged. Valuation of securities are done by approved custodians at periodic intervals as specified by the Clearing Corporation from time to time.