Delivery trading
Delivery trading means buying shares and holding them in your demat account beyond the day of the trade, so the shares are actually delivered to you. It is the opposite of an intraday trade, which is closed the same day and never settles into your account.
How delivery works
When you buy in delivery, the shares are credited to your demat account after the trade settles. Until then, a confirmation message only means your order was accepted. Settlement is the process that verifies and transfers real ownership, and your demat account is where you can see the shares sitting.
Delivery and intraday
In an intraday trade you buy and sell the same share on the same day, so nothing is delivered. In delivery you keep the shares for as long as you choose, for days, months or years. That choice changes what you pay in charges and what risks you carry overnight, such as news that arrives after the market closes.
Settlement timing
Shares arrive in your demat account a set number of working days after the trade. SEBI sets the settlement cycle, and it has been shortened over the years, so check the current cycle with your broker rather than rely on a remembered number.
Delivery percentage
Exchanges publish how much of a share's day volume was taken in delivery and how much was squared off the same day. A higher delivery share can suggest more buyers intend to hold, but it is one clue among many and does not predict the price.
A delivery trade (hypothetical numbers)
Suppose you buy 10 shares at ₹500 in delivery. After settlement, your demat account shows 10 shares, and you can hold them for as long as you like. If you had bought and sold the same 10 shares on the same day instead, they would never have reached your demat account, and only the difference between the buy and sell price would count, less charges.
Common questions
- What is delivery trading in simple words?
- Buying shares and holding them in your demat account beyond the day.
- What is the difference between delivery and intraday?
- Delivery shares settle into your demat account and you keep them. An intraday trade is closed the same day and nothing is delivered.
- When do delivery shares reach my demat account?
- After settlement, a set number of working days after the trade. SEBI sets the cycle, and it can change.
- What is delivery percentage?
- The share of a day's trading volume that was taken in delivery. It is one clue about intent, not a price signal.