Will I Be Eligible for Corporate Actions Such as Dividends for My MTF Positions?
Yes. If you hold shares under the Margin Trading Facility (MTF) at FYERS, you remain eligible for all corporate actions such as dividends, bonuses, rights issues, and stock splits. This is because the shares stay in your demat account even though they are pledged for margin purposes.
As long as you continue to hold the shares on the relevant record date, you will receive all associated benefits directly to your demat or linked bank account, depending on the corporate action.
What If...
| Scenario | What You Should Know |
|---|
| You hold pledged shares on the record date | You will receive dividends, bonuses, and rights like a regular shareholder. |
| You sell the shares before the record date | You won’t be eligible for the corporate action since benefits are based on record date holdings. |
| A rights issue is announced | You can choose to apply for rights shares. Ensure you have sufficient funds in your account before the deadline. |
Tip: Always check the company’s record date and ex-date for corporate actions, as eligibility depends entirely on your shareholding on those dates.
Last updated: 02 Sep 2025
Related Articles
What Is the Process to Convert an MTF Position to an Overnight Position?
You can convert your Margin Trading Facility (MTF) position to an Overnight (CNC) position using FYERS Web or FYERS Trader. On FYERS App Steps to Convert an MTF Position Open the FYERS App and log in Go to Portfolio → Positions Tap the stock under ...
What is Margin Trading Facility (MTF)?
Margin Trading Facility (MTF) allows you to buy stocks by paying only a portion of the trade value upfront while FYERS funds the remaining amount. It helps you take larger delivery positions with limited capital by leveraging approved stocks in your ...
How to track Dividends, Splits & Bonuses on FYERS Web?
You can track Dividends, Splits & Bonuses in the charts of our FYERS Web platform. Below is the procedure to enable the option to track the same: Click on the dashboard. On the right corner of the dashboard, click on the user symbol and a dropdown ...
Will Smart Exit close overnight positions automatically when either of the conditions are hit?
Yes, Smart Exit will automatically close all overnight positions, except Equity Delivery positions, when either the Book Profit or Max Loss conditions are triggered. This includes positions held under the Margin Trading Facility (MTF).
Which Stocks Are Eligible for MTF Trading?
FYERS offers access to over 1,400 NSE-listed stocks under the Margin Trading Facility (MTF). These stocks are selected based on SEBI and exchange guidelines, and eligibility may change depending on internal risk controls and regulatory updates. Where ...