Exposure Margin on WebNotes

Exposure margin on Zerodha

Wed, 20 May 2026 00:00:00 +0000

Exposure margin is the fixed-percentage buffer added on top of SPAN margin for F&O positions on Indian exchanges. It is calculated as a defined percentage of the notional contract value and exists to cover scenarios beyond SPAN’s standard stress tests.

Rate by contract type

The exposure margin rate varies by contract:

Contract type	Exposure margin (approximate)
Index futures	3% of notional value
Stock futures	5% of notional
Index options	3-5% of notional (varies)
Stock options	5-7% of notional
Currency futures	1-2%
Commodity futures (per MCX)	4-7%

These are set by the exchange and may revise periodically.

Exposure margin (additional margin on Indian derivatives)

Sun, 17 May 2026 00:00:00 +0000

Exposure margin is the second component of initial margin on Indian derivatives positions, levied by the clearing corporations of the National Stock Exchange (NSCCL ), the Bombay Stock Exchange (ICCL ), and the Multi Commodity Exchange (MCXCCL) on top of SPAN margin . Where SPAN margin is computed via a scenario-array methodology to capture the worst-case loss in a defined set of price and volatility moves, exposure margin is a simpler fixed-percentage of contract notional value, designed to provide an additional cushion beyond what the SPAN scenarios capture.