Ledger Balance (Demat)

The ledger balance in the context of a Demat and trading account refers to the net funds balance available in the investor's account — reflecting all settled transactions including credits from share sales, dividends received, and fund transfers in, minus debits for share purchases, charges, and fund withdrawals, as of the most recent settlement date. The ledger balance differs from the available balance or net balance — which may also factor in funds blocked against pending buy orders, margin obligations, and unsettled transactions. In India, trading account ledgers maintained by SEBI-registered brokers must comply with SEBI's client fund segregation rules — ensuring that client funds are held in a separate bank account and not commingled with the broker's own funds. Investors should regularly reconcile their trading account ledger balance with their bank account statements to verify that all fund credits and debits are accurately reflected. A positive ledger balance indicates funds available for new investments, while a debit (negative) ledger balance indicates that the investor owes funds to the broker — potentially due to margin obligations, MTM losses, or outstanding dues. SEBI mandates that brokers send quarterly ledger statements to all clients, and clients can request a ledger statement at any time through the broker's online portal.