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What is: Pledging of Shares – Everything You need To Know About Pledged Shares

Discussion in 'Technical Analysis' started by shabbir, May 7, 2017.

  1. shabbir

    shabbir Administrator Staff Member

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    What is pledging of shares? Who can pledge share? How to find if the promoter has pledged it's shares and when pledging should be a concern for the retail investor?

    Continue reading...
     
    shabbir, May 7, 2017
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  2. bhat64

    bhat64 Apprentice

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    Awesome write up Shabbir. Few questions: There are companies with low debt to equity but high pledge of promoter shares? Why? Is that because pledge shares and taking loans on it is cheaper that going to banks? Also how will the small investor know when the pledge is released? Public media and stock exchange websites?


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    bhat64, May 9, 2017
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  3. shabbir

    shabbir Administrator Staff Member

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    Pledge is easy money for more for a short term need but company use it for long term as well. (not so good operationally)
     
    shabbir, May 9, 2017
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  4. shabbir

    shabbir Administrator Staff Member

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    Investors can be subscribed to updates from companies on NSE and BSE website and companies has to update changes as it happens to the exchanges. Again this is tricky and not all will know.
     
    shabbir, May 9, 2017
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