Risk Management on WebNotes

How to fix an 'order rejected: RMS' error on Zerodha

Tue, 12 May 2026 00:00:00 +0000

When Kite rejects an order with a message beginning “RMS:”, Zerodha’s internal Risk Management System has blocked the order before it reached the exchange. RMS is a pre-trade validation engine that checks margin, position limits, scrip restrictions, OI caps, and other broker-level risk parameters. The sub-code that follows “RMS:” identifies the specific check that failed.

Unlike exchange-level rejections (which carry NSE or BSE error codes), RMS rejections are issued by Zerodha’s servers. The exchange never processes a RMS-rejected order, so there is no exchange acknowledgement number for such orders.

SL (Stop Loss limit) order on Kite

Mon, 11 May 2026 00:00:00 +0000

An SL (Stop Loss limit) order is a conditional order type that becomes active only when a user-defined trigger price is reached. Once triggered, it enters the exchange order book as a standard limit order at a separately specified limit price. On Kite, Zerodha’s trading platform, this order type is selected by choosing “SL” from the order type dropdown, after which two price fields appear: the trigger price and the limit price.

The SL order is primarily used for risk management, to exit a losing position automatically when the market moves against a trader’s expectation. It is also used to enter positions on breakouts, where a trade is initiated only after the price clears a specific level.

SL-M (Stop Loss Market) order on Kite

Mon, 11 May 2026 00:00:00 +0000

An SL-M (Stop Loss Market) order is a conditional order type that monitors the market for a trigger price and, when that trigger is reached, submits a market order to the exchange for immediate execution at the best available price. On Kite, Zerodha’s trading platform, an SL-M order is placed by selecting “SL-M” from the order type dropdown and entering only a single price field: the trigger price. Unlike the SL (Stop Loss limit) order, no separate limit price is specified. Once triggered, execution is at whatever price the market offers.