What is the difference between holdings and positions?
Holdings are settled shares you own in your Demat account. Positions are active, unsettled trades. Learn the key difference with examples for 021 Trade users.
The difference between holdings and positions is mainly based on ownership and time of the trade.
1. Holdings
Holdings are stocks that you own and are stored in your Demat account with depositories like Central Depository Services Limited (CDSL) or National Securities Depository Limited (NSDL).
- These shares are already delivered to your account.
- You can hold them for the long term.
- They remain in your account until you decide to sell them.
Example:
If you buy 100 shares today and keep them after settlement, they will appear in your holdings.
2. Positions
Positions refer to active trades that are currently open and not yet settled or squared off.
- These can be intraday trades or derivatives trades.
- They usually appear in the Positions tab and remain visible there until the expiry or until you square off the position.
- Once the trade is closed or settled, it either disappears or moves to holdings (in case of delivery).
Example:
If you buy shares today for intraday trading, they will appear in positions until you sell them or the market closes.
* Simple Difference:
- Holdings = Shares you already own in your Demat account.
- Positions = Trades that are currently open or executed during the day but not yet settled.
