What does CNC, MIS and NRML Mean?
By: Akriti Tomar | Date : Dec 16, 24
Cash and Carry (CNC)
CNC is used for delivery-based trading in equity. It allows you to buy stocks and hold them for as long as you like. There is no leverage, and positions are not auto-squared off. You can sell the stocks from your holdings anytime.
Did You Know? If you buy and sell the stock within the same day, it will be treated as an intraday trade, with corresponding brokerage charges.
Margin Intraday Square off (MIS)
MIS is designed for intraday trading with leverage. It’s used for equity, equity F&O, commodity futures, and currency futures. Positions are automatically squared off at the end of the day if not manually closed before the auto-square-off time.
Normal (NRML)
NRML is for overnight trading in futures and options, allowing positions to be carried until expiry. It doesn’t offer intraday leverage but is used for holding futures and options over multiple days or for currency delivery-based trading.
Each product type has its specific purpose, so choose the one that aligns with your trading goals.
| Feature | CNC (Cash and Carry) | MIS (Margin Intraday Square Off) | NRML (Normal) |
| Purpose | Delivery-based trading | Intraday trading | Overnight trading in futures/options |
| Leverage | No leverage | Yes, leverage for intraday trades | No leverage |
| Auto Square Off | No | Yes, positions closed automatically at the end of the day | No |
| Suitable for | Long-term holding or delivery trading | Short-term intraday traders | Traders holding positions overnight |
| Position Holding | Hold indefinitely | Must be closed the same day | Hold until expiry or next trading session |
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