Articles in “Margin” category
35 articles.
2026 (35)
- Margin pledge
Margin pledge is the process of pledging securities in a demat account to a broker for collateral margin, under the SEBI framework that since 2020 keeps the …
- SPAN margin (Standard Portfolio Analysis of Risk)
SPAN margin is the worst-case initial margin on F&O positions, set by the NSE, BSE, and MCX clearing corporations using SEBI-approved risk-array scenarios.
- How to pledge holdings for margin on Zerodha
Step-by-step guide to pledging equity shares and ETFs held in your Zerodha demat account to generate collateral margin for F&O and intraday trading.
- How to unpledge holdings on Zerodha
Step-by-step guide to releasing a pledge on equity shares or ETFs in your Zerodha demat account, withdrawing collateral margin and restoring free delivery …
- Additional margin for selling index options
SEBI / NSE may impose additional margin on selling index options (Nifty, BankNifty, FinNifty, MidcapNifty) during heightened volatility or risk events. Explains …
- Cash component vs collateral component
F&O margin can be funded from cash, cash-equivalent, or pledged equity collateral. SEBI requires at least 50% in cash component. Explains the split and …
- ELM (Extreme Loss Margin) on Zerodha
ELM (Extreme Loss Margin) is a tail-risk buffer added on top of SPAN for F&O positions. Explains what ELM covers, the rate per contract, and the relationship to …
- Exchange margin types (SPAN, ELM, Adhoc, VAR)
The four main exchange margin types in India: SPAN (Standard Portfolio Analysis of Risk), ELM (Extreme Loss Margin), Adhoc margin, and VAR (Value at Risk). …
- Exposure margin on Zerodha
Exposure margin on Zerodha (and Indian F&O) is the fixed-percentage buffer added on top of SPAN. Explains the rationale, the rates per contract type, and how it …
- F&O profits available same day
F&O daily MTM profits are credited to the trading account same day (end of day), available for fresh margin / trades the next day. Explains the cycle vs equity …
- Higher margin near expiry
F&O positions face higher margin in the days leading to expiry, especially for stock options with physical settlement. Explains the pre-expiry margin layer and …
- Intraday leverages for MIS / CO
Leverage available for intraday MIS and Cover Order (CO) trades on Zerodha. Covers the post-peak-margin leverage levels and how they're computed.
- Intraday margin increases on volatile days
On high-volatility days, intraday margins increase as VAR / SPAN parameters update. Explains the mechanism and how to plan for it.
- Leverage against available funds
Effective leverage of your trading depends on margin used vs available funds, not just the per-scrip leverage. Explains how to calculate and optimise …
- Leverage for delivery / carry-over positions
Leverage on delivery (CNC) is 1x (full payment) and on NRML F&O is SPAN-based. Explains the contrast and how to think about overnight carry positions.
- Leverage indicator on Kite
Kite shows a leverage indicator on the order ticket displaying the effective multiplier based on margin available vs notional position size. Explains the …
- LiquidBees physical delivery margin
LiquidBees ETF settlement and any physical-delivery considerations. Most retail LiquidBees activity is via demat with no physical-delivery margin concern.
- Long-dated contracts margin requirements
Long-dated F&O contracts (far month, far quarter) typically have higher margin requirements than near-month contracts due to greater time-related uncertainty.
- Margin trading SEBI new rules 2026
SEBI's 2026 framework for Margin Trading Funding (MTF) tightens client eligibility, increases broker capital requirements, and overhauls the pledge mechanics. …
- Margin-call timeline at Zerodha
When margin used exceeds available, Zerodha follows a timeline of notifications and actions: alerts, top-up window, and auto-square-off if not resolved. …
- Margins and leverage at Zerodha
An overview of margin and leverage at Zerodha across segments: equity intraday, equity delivery, F&O, currency, commodity. Explains the leverage levels …
- Positions with unsettled balances
How positions with unsettled balances (T+1 settling) appear in margin calculations on Zerodha. Explains the treatment of unsettled funds.
- Previous day profits not on Kite why
Why previous trading day's profits may not appear immediately on Kite Funds. Covers settlement timing, MTM cycle, and post-EOD batch processing.
- SEBI peak margin rules explained
SEBI's peak margin rules require brokers to collect the highest of four intraday margin snapshots, ending the unlimited intraday leverage era. Explains the …
- SPAN margin on Zerodha
SPAN margin on Zerodha (and any Indian broker) is the worst-case portfolio loss calculation for F&O positions, computed by NSE Clearing. Explains how SPAN is …
- The 50:50 cash collateral rule explained
SEBI's 50:50 cash collateral rule requires that at least 50% of F&O margin be in cash or cash-equivalent, with the remaining up to 50% in pledged equity …
- Upfront margin requirements (post-2020)
SEBI's upfront margin requirements, in force since September 2020, mandate that brokers collect the full required margin from the client before order placement. …
- Use option premium received as margin
When you sell an option, the premium received is credited and can count toward margin for additional positions. Explains the framework and how to use premium …
- VAR + ELM intraday margin on Zerodha
VAR + ELM is the margin framework for equity intraday (cash segment) on Zerodha. VAR (Value at Risk) is the volatility-based component; ELM is the tail buffer. …
- Zerodha margin calculator
The Zerodha margin calculator computes SPAN + exposure margin for any F&O contract or strategy. Free, public tool at zerodha.com/margin-calculator. Covers what …
- SEBI margin pledge rules (September 2020 framework)
On 1 September 2020 SEBI's new margin pledge framework replaced the long-standing Power of Attorney system for collateralising client securities. Securities now …
- Exposure margin (additional margin on Indian derivatives)
Exposure margin is the second-layer initial margin levied by Indian clearing corporations on top of SPAN margin, computed as a fixed percentage of contract …
- Extreme Loss Margin (ELM)
Extreme Loss Margin is an additional layer of initial margin on Indian derivatives and cash equity positions, calibrated by SEBI to cover statistically extreme …
- Peak margin penalty (SEBI peak-margin reporting regime)
The peak margin reporting regime introduced by SEBI in November 2020 requires Indian brokers to collect upfront margin matching the highest of four intraday …
- Pledge and collateral margin on Zerodha
How pledging shares and mutual funds works on Zerodha: CDSL pledge mechanism, haircuts, margin generation, unpledge workflow, and regulatory framework.