Margin  refers  to the amount of money or stock collateral that is required upfront to place an order. Earlier each broker had their own margin system providing different leverage to different clients to be competitive. With the Peak Margin implementation by SEBI, this has become a level play ground for all brokers and it is uniform now.

To understand, how much funds are required to place an order, you will be required to understand the various product codes available in your order form. Click here to understand the product codes

Details of Margin Required

Product Code

Segment

Margin Required

Under all Product Codes

All  Derivatives Segments

100% of SPAN +Exposure margin including additional margin if any

CNC in Infini Trading Platform

Cash Segment

100% of Traded Value

NRML in Infini Trading Platform and CNC in Rocket

Cash Segment

50% of the Traded Value of selected stocks

MIS/ Cover Order /Bracket Order

Cash Segment

VAR+ ELM or 20% of Traded Value whichever is higher on selected stocks

Margin Trade Funding (MTF)

Cash Segment

VAR + 4.5 times of ELM for Group 1 F&O stocks and VAR +6.5  times ELM for Group 1 Non F&O stocks with a minimum 50% of traded value



VAR and ELM are the terms to measure risk of a stock and they are readily available in NSE website. 




Various Product Codes in Trading Terminal


Margins - Equity/Currency/Commodities