Share Pledge Trusteeship
Lenders appoint Trustee to hold the shares(in demat / physical mode) as security on their behalf.
Share Pledge Trustee is often appointed as Monitoring Agent for valuation of shares and calculating Asset Coverage Ratio.
Share Pledge Trustee based on the valuation, inform the Lender whether topping up of shares is required or not? If required, it will arrange to get the additional shares pledged for the Lenders or seek the necessary instructions of the Lenders.
We undertake securities in form of pledge of shares which can be in Demat or physical mode.
- Hold the shares as security in demat/physical form on behalf of Lenders as share pledge trustee.
- Monitor the compliance laid down in Share Pledge Agreement.
- Monitor the Valuation of shares periodically on an ongoing basis.