Zerodha Free cash

Free cash meaning on Zerodha

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Free cash on Zerodha is the portion of your trading account cash that’s not locked as margin against open positions and is available for new trades.

Components

For a Zerodha account:

ItemDescription
Total cashAll cash in the trading account
Margin usedLocked against open positions
Free cashTotal cash - Margin used (the spendable portion)

If your total cash is Rs 5 lakh and Rs 2 lakh is locked as margin, free cash = Rs 3 lakh.

Where shown on Kite

Kite Funds page shows:

  • Cash (total in trading account).
  • Margin available (which is free cash + collateral).
  • Margin used.

Free cash is implicitly: Cash - portion locked.

Free cash vs margin available

ConceptIncludes
Free cashTrading account cash not locked
Margin availableCash + collateral value, after subtracting margin used

Margin available is broader; it includes pledged collateral as well as free cash.

See also

External references

References

  1. Zerodha, Funds terminology, support.zerodha.com.

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