If you see it high volatile then stop providing margin instead of banning.Eg Justdial or Jetairways. Hi Hey Nitin! If all documents are in place, trading account will take 1 day and demat 7 working days. My interpretation and the customer care exec. You get the premium credit on T+1. Hello Team, Why is this mismatch ? Similar for long date Nifty options, slightly higher than the monthly. You can refer to the margin required for the monthly contract on the calculator. I understand adding Exposure Margin will increase the Total Margin requirement. For example to sell a 10-lot of .04 delta puts in SPY, assuming it’s cash secured, $189,000 would be needed to satisfy the margin requirement! Check this post on option writing. I think the margin calculator needs an update. Buy one 190 call sell 2 200 calls and buy one 210 call. Exposure Margin% 3.00 I have gone through that and not clear. 2) If I get any message from Zerodha about insufficient funds, then do i need to square off SELL option or both BUY and SELL options? My margin not gone below 60% its just 1000 less than total for same day. Calculating future volatility is as good as calling direction in the market. Thanks. with Rs. Sarita, we allow trading on LEAPS, will check why SPAN is not showing them. Thank you..Nithin please upgrade trading module… because back office login requires IE, you might aware Linux distributions doesn’t come with IE … please make something common which works with all browsers… and Zconnect app is very poor I must say… strike rates are not getting updated on Z5 regularly… I read many issues like min max are not getting updated in script something like that on google.. Zerodha is 95% good in all aspects in India but this remaining 5% application related issue need to be solved. There are slight differences in calculations and I want to know why that is. When you lose money, first exposure margin reduces and then SPAN. The only issue is if you let the options that you have bought (Buy options and not Short options) expire in the money. I was trying to calculate the SPAN margin based on the rules stated on the exchange website for the following two cases , and I wasn’t able to tie out with the above calculator : 1) Short ATM call + Long future (same expiry) : Risk-wise this is the same as an ATM put, so am not sure why the SPAN margin changes at all. For June Contract the price of 10,300 are Call: 339.4 & Put: 224.2 how much margin I must required to 5 lots (25*5=125)? sir But if you bought say a 7800 put and 9400 call along with this, your risk is completely hedged. your span calculator is not working properly…. here is exact text for rejection – Then, you get the margin benefit once the position is open. You can see the margin requirements for shorting though. Nifty Near Month JUL 2015 – (25 qty) But if I choose hdfc 1260 call writing it’s showing both span and exposure margin. A)Do i need to maintain margin required for both contracts while placing order? However according to my knowledge span/inital margin for Nifty is 7.1%. I am only BUYING an option. Rs: 6,225 You can check…. My focus is on why Span is different. 10,0000 how much Margin can I leverage to buy nifty Feb series 6000 Futures? People call it equity derivatives, equity futures, futures, they all mean the same. You can refer to the margin requirement for the monthly contract. Is there two types of Trading like Equity Futures and Derivatives Future, am just confused, If i would like to traded in Futures, is that Equity or derivative? for bank nifty cals shows 32000 required for intraday but on trading a/c 42000????????? Regards, Krish. The SPAN calculator is a web app, you can use this on any browser though, here is the link: http://zerodha.com/margin-calculator/SPAN. My problems is I have purchases a future position say HAVELLS at 590 and stop loss at 581. hi, This is regarding the cash balance and margins. Please let me the know the best solution. The SPAN Calculator is indeed an excellent tool, thanks for that. sir But in Zerodha span calculator total margin = 0 .. Will this work only for span , if i want to calculate individual margin where to can i his info. What SPAN calculator shows is what exchange asks us to block. So, if it is only 100 RS for Bracket Order it will be more benefitable. Why is there a margin required in my example case? Request you to please refer me some pdf to understand it better. Sometimes I even forgo the trade if profit to loss percentage is not appealing. Will it comes in my account ? I shorted the DHFL mar2018 560 call @20.50, 1 lot on 16/2/2018. Yes you can use it as collateral. You will see the drop in margins. The margins remain more or less the same for weekly and monthly contracts Vibhore. Hey Shantanu, best check out the Varsity module on options trading. i did’t find BO & CO Equity calculater. Yes, calendar spread margins can be calculated on the SPAN Margin calculator page. I have paid Rs. Can i expect bracket order facility enabled on MCX also? intra and positional and where to check it ? I have calculated the margin by adding buy position of 7800 put and 9400 call and the margin requirement come down from 68 times to 30 times of premium receivable. Just one query, if incase i buy 4000 shares of POWERGRID on 30th April 2019 (assume spot rate is Rs 190) and simultaneously, i sell 4000 (one lot) of same stock in futures and on the expiry 30th May 2019 i square off both the positions. Hi Mr.Nitin, Thanks a lot for all the knowledge which you have been imparting. MATTI SIR SPAN MARGIN CALCULATOR IS NOT WORKING PROPERLY IN CURRENCY SEGMENT APRIL SCRIPT IS NOT SHOWING 6600 p margin depend upon previous position, and after i buy call & put of 6500, i have to pay first fully premium or depend upon previous postion…………. Is that correct? 2. If your strategy has buy and sell option legs, place the buy order first (since that requires only premium) and the place the sell order which will require the lower margin as per the new framework. No Anil, there is no penalty for that. 24000/-. Zerodha F&O margin calculator accounts for this premium received based on closing price of premium from the previous day. I did not understand what is SPAN and What is Exposure in the margin calculator . As per your calculator the margin required is However, even until we do this, you can simply look at the margin requirements for the monthly options. When will be the premium will be credited on call writing and how do you calculate the margin benefit 1. Exposure margin Rs: 19,373 I have Rs. Reset button to set the values to zero of quantity and price and not product/symbol Little tricky Also i dont see a calculate button which i can use to show the combined margin blocked for all my positions once i have entered their details. sir i entered my strategy in span margin calculator then it shows, span margin But as I place bracket order , it is rejecting. कितना मार्जिन / लिवरेज Zerodha देता है ? The party taking a long position i.e. All stock futures, start atleast at 15%. Hi, Ok..so this would seem very amateurish but I am kinda new and learning…so please forgive me. what would be the margin requirement for box spread with below price? I tried for SBIN Butterfly strategy. its a plain option buying. Nifty Options margin for Intraday trading: Scrip: NIFTY 25-Feb-2016 7100 CE costing 121/- each. because i booked loss 1k last trading day but i have to pay near 1.6k …. Seems to work fine. Since margins are decided by the exchange and varies based on underlying, can you help me find the required percentages for all the equities on NSE? Per lot of 75 Nifty it comes to 74,125.28. I want to write nifty strangle only on expiry day intraday basis. it will only shows the cash and carry values. I get only end of month banknifty contracts there. — If this is correct than please confirm the fact that: going long using a synthetic future is much easier on the fund requirement as opposed to the normal June future ( 39,725 vs 78,298)! Hey Som, Is this a case that is simply not handled correctly in the SPAN calculator’s code, or is there some crazy logic to this ? If it’s just an open order, it can be cancelled after the short position is open. Thank You. My questions are, Can you please Weekly options into the list? Check this post. Span Margin ,Exposure margin & total margin terms finds difficult for me to under stand. Present pics are from 2013. Vinayak, exchange while determining the risk also has to consider the risk of trade execution. 100 per stock. You get trading immediately. And other traders are giving to trade for just 30000/- margin money, whereas your software is saying 48000/-. does total premium amount for buying 4 OTM CALL (Lower Strike) 31200 BANK NIFTY is not included in the above margin of 62397? why there is no Banknifty weekly option available in option margin calculator? I know for sure that ICICI Sec takes around 10.5-11% as initial margin for stocks like LT, SBI,HDFC Bank. so can i wont be able to sale PUT and CALL without margin money. Check this link, point 16. Then who all will decide the premium I will collect for writing this option. Tha margin calculator is for a one month expiry. Thanks Nithin. You have forgotten to mention which strike price of GBP Calls feb contract you are shorting, But anyways: If we let you a hold a position overnight, with money lesser than the SPAN requirement (7568 in your example), the exchange penalizes you for this. You will have to first pledge your shares by sending an email request to [email protected]. is there any problem in currency span calculator is not working properly plz check it once. The margin requirement for all stock Futures and options contracts will be increased 2 days prior to expiry (Wednesday and Thursday of the expiry week) to twice of the exchange mandated SPAN + Exposure margin required. Don’t think PC SPAN can calculate Exposure margins. Once you place your orders, you have to wait until the 45th minute for the exchange to start the execution process. is that 12.30*500=6150 required or more The one currently showing in calculator doesnt match the amount while buyinng in MIS future . Sir mene margin calculator m check kiya.. 1 lot of pnb futures long hedge with1lot of pnb 190put option buy and sell 1lot of pnb 205call….combined margin require 2,26,000 and niche brackets m arha total 3position ka 5,28,000…..to mje trading account m kitna balance maintain krna hoga all 3position k liye…528000 or 226000? When checking Margin required for going long on June Fut it shows – Span: 39,279, Exposure margin: 39,019 & Total margin: 78,298 I then sell an ATM NIFTY call with same expiry. Res Sir, today dated 01/04/2017 I was checking the required margin money for Monday’s trading, but there were shows only Span margin not Exposure margin, is it changed? That’s a quite a lot of leverage! and nifty 8280 call option is trading at a premium of 100. then by this i can buy 1000 shares of nifty. I have a query on below describe strategy: What will be the minimum account balance required for initiate this trade tomorrow (normal Order). Q1. Would that be zero margin to sell call on the future posotion? The spot is at 270, which means you’re shorting an In The Money call. But it is just a marginal reduction. Yeah, Now if i see both links throws the same margin of Rs. and where can I get the details as http://zerodha.com/margin-calculator/SPAN/ is not updating the script list. Varun for buying options there is no concept called margin. I am planning to hold both the trades till 17th july. I am using Google chrome browser. This is very important as you have now included the margin calculations as part of your api, and I am building an algorithm that relies heavily on the margin calculations and your api. Hi, I just want to know when will you introduce cover orders in commodity. Whether it will be carried next day or will be squared by the RMS at the end of the day. Lets Suppose: Hi, i want to know the reason to ban the securities under FNO section whereas same are getting traded in NSE. I was hoping to get an answer from you on the above query. sunpharma futures (feb19) trading at 386 However, as a thumb rule you can note the margins are similar to the monthly option contracts as there is no considerable difference between the two. For futures it is 0.0039% of contract turnover and for options it is 0.079% of premium turnover. That means I have to buy 3000 shares of SBI at 200, but my account does not have that money. why there is difference in margin for options trading calculated here and while doing trade ? Option Writing Margin is referred to cash, where the trader should deposit in his trading account before writing options. Best to send such account specific queries to [email protected]. Hi Nithin, So, I hope that big broker members like you would help protest this practise of NSE instead of defending it. Only monthend options are visible? It is showing only month ending options. You will get to know the individual margins required. hello….i am your customer..my id is JS2405….can i sell monthly nifty call option and buy weekly option to hedge ? Have answered it a few times before on this post. Either it does not work or language confusing. Ranjan, we don’t really make a call as such. Thanks, I think zerodha is the best discount broker in India. Raj, this margin blocked is absolutely out of our control.If you took the exact same position, you would see that margin blocked will be the same. Now when I press the reset button, it resets it back to the original and I have to select all the way back, thus becoming inefficient as it consumes a lot of time. 2) What would be the haircut for this fund? You can check the margins by simulating this position here: https://zerodha.com/margin-calculator/SPAN/. I tried exploring Span calculator but the page was not properly displaying eventhough i tried refreshing several times and it did not work on IE and chrome browsers. Yes Akash, some issue today, we are working on having it fixed soon. That is why we give an option for you to add buy option position in SPAN calculator. No more taking trades just to figure out the margin … Hello, Why BankNifty weekly options data is not provided in margin calculator? what is margin benefit in margin calculator, which is appearing in green. Any Updates on Leaps (Long term options) of Nifty……..I only see 3 months Nifty options available in the SPAN calculator while in the watchlist we can buy and sell upto 2017 eg I am interested in Dec 2016 option writing. When I checked for the margin requirement to sell a currency option ( OTM ), it shows only 100 RS for one lot in BRACKET ORDER. 68000 We haven’t noticed any difference in the margins from the calculator and with the ones required by NSE. Can you please clarify this why this is the case for option? Again, in Options Selling CO, Upstox is giving much higher margin compare to Zerodha. Adithya, the margin blocked for a particular client is completely determined by the exchange. Awaiting your reply. The SPAN calculator predicts it upto 90% accuracy. Hi Nithin, Many of the features of Nest Trader (PC) are not available on Mobile (Android). for example : Margin calculator works fine, but it can’t show you exact margin, there could be a + or – 10% variance based on how volatile the market was today. I intend to short out of the money options only. If I enter another order for selling at 6100 it requires additional margin. As seen in the below screenshot, total margin required for Reliance future 1 lot is Rs. Premium receivable – 20,005 Is it like the way we do when we buy options (any time square off)? How to buy and sell nifty strike option your margin calculator what is the brokerage prices other service try to make under stand me easy way through calculator provide detail below. It’s around the same as the monthly contract, so you can check the requirements for the monthly contract on the margin calculator. Coming back to why charge when the risk is limited on short 8500 put when you are long 8800 put? Hey Kumar. Thanks. Q3- Is this trade possible, I mean can I sell Put options today and buy it later anytime before expiry of traded contract ? How can i reduce 50% remaining margin without cash? nifty cmp 10550.. suppose want to plan option multileg stategy cover call… buy 10600 call sell 10700 call.. good margin benefit are there, but how to check it in weekly.. in your margin calculator only monthly expiry showing.. so how to calculate for weekly? Is there a way I can see my current margin money invested on open FNO positions in Kite? But Banknifty has got weekly expiry schedule. Today I have place 3L spread order nifty fut Jan buy ,sell nifty jan ce 7600,buy nifty Jan pe7800( giving manual price near around current price at that time),span calculator shows total margin around 54k,but when I place that order it gets rejected even though I have 69k,dying that margins require91k..why is it so..is it not enough to have total margin money or if it is required total margin and benefit together at the time of spread order 3L.. Niket, you get the margin benefit only once all the three positions are entered into. I have multiple holdings in my portfolio in zerodha. However, if you have some free cash left in your account, in an event when the position goes against you, the free cash will be utilised and a margin call won’t be triggered. When we are going for a short strangle, in Nifty or BN, (i.e., Sell one call and one put), is there any provision, we can set a stop loss for both the positions put together or do we have to set individual SLs? Now if there is a MTM loss of Rs. We settle with the exchange on T+0 basis, so among the list of brokers charging the least margin. Appreciate your efforts and time to reply directly. Thanks, sir 2,000 on day 1 , will that be adjusted against the initial margin (from the exposure portion of the total margin) or from the free cash?What I noted from one of my transactions is this gets adjusted against the free cash. Thanks for the reply, that’s pretty informative. That is because exchange blocks this. Can I upload Position in Excel and calculate total margin? For option selling positional the margin is as per Exchange guidelines Amount of margin required is available on their site For option selling intraday 50 percent of normal Follow my blog Delhidaytrader dot com and Visit me on twitter @discplinedtrder for more learning I am using NSE now software, so I understand that margin requirement calculate by SPAN calculator won’t be 100% right. Then why is zerodha asking for margin on both sides of leg? But in actual margin required for above both trade is more than 90,000/- instead of 62397/- . yesterday i shorted 10 lots each of 9600 call and put. Could you also please clarify, If i buy futures under Normal with Expiry date jan 2015 and if i sell before expiry , amount will be credited on the same day when i sell or do i need to wait till the expiry date, 2) can i sell futures partly( like one lot one time and others at different time). Sarita, unfortunately the SPAN can’t calculate margin requirements for long dated options currently. eg. Best create a ticket on our Support Portal. Is there any plan to add Ichimoku indicator in Pi in near future ? Exposure Margin – 32,004 5,30,711 Margin calculator shows 37000 but the trading terminal requires 1.36 lacs. ?… We can see the margin required for selling option ( stock, currency) in your tool. Can you confirm? I had checked this around midnight yesterday. thanks for the above information and the examples are really good. Thanks. The Govt. 3. The margin requirements for the weekly and monthly contracts are similar, Debashis. Regarding Point 1), If I sell 8800 Call and buy 9000 Call, then I dont need any cash for buying the 9000 call right? Regards. 2. Strategies that I hesitated to execute, fearing my trading costs are now within my reach. Hey Prakhar, while placing the second order, you’ll be required to have the full margin required for the order. Would like to know about, when the positions could be squared off. thanks. The ETF you’re looking for ins’t available for pledging, I’m afraid. There is no such spread benefit (like future) in case of option which is eventually let the required margin low and margin benefit high. While SPAN calculator shows a margin of Rs.43,000, future margin list shows around Rs. Check out intraday margin requirements here. Will it be possible in view of the order being a Bracket Order in the first place. Can you please explain why the margin should be so high even for such a hedged position? I was trying to build those rules into a system for picking option positions, and hence the question. Not across cash and derivatives though. Check this link: http://tradingqna.com/949/span-margin-for-a-hedged-postion. Please check and advise. TOTAL MARGIN 44795 We have discussed this some time ago last month also. Nitin would appreciate an update on this. Total Margin = Span/initial + Exposure – Spread Benefit (If any). I also have the same issue… cannot see current weekly expiry of Nifty & Bank nifty details…. best !! If you have any follow on questions, post on this thread on Trading Q&A. why ? Salil, what exchanges ask us to collect is SPAN + exposure. Nithin, Thanks for your reply. However, you can pledge the stocks you hold and use the collateral margins to take the covered call position. Yeah margin amount is different, in equity there is no lot size,but in futures you have to buy/sell as multiple of lots. Also please tell me how much money in cash required for selling one lot worth 100 rs. Will the position be sqauared on auto? For equity – both delivery and intraday, F&O – Future where the turnover is Rs.8,40,000, the total transaction charge is Rs.32.76 whereas for F&O – options, for a turnover of just Rs.84,000 the transaction charge is Rs.66.36. Use this calculator to see the margin required: https://zerodha.com/margin-calculator/SPAN/. I have a doubt while shorting the options. Sir, Could you pls clarify this instance? So please do the needful. Zerodha the number one discount broker of India, offers a trading platform Zerodha Kite and many want to grab the information on what is margin used in the Zerodha Kite.. 17,000+), but still, my question stands !! Hi Team, If I want to enter an iron condor trade which has four legs and upon unwinding, will I be charged a total of Rs. Thanks. 8500. 1) Why I need that much huge margin (as per the example, let’s say 25 times margin (4,68,815 / 18,750) in my account to Short the 10200 PE. Now when we square off our positions, how much of the profit earned, is deducted by Zerodha i.e. Ranjan, looks like you checked this midnight when our end of day process was running. When will the new margin requirements be applied to CO/BO? Is it so ?? In you want to use the margin calculator, you can use te monthly contract margin for the weekly contracts. many brokers are allowed to their clints. As you don’t allow to trade beyond range in Banknifty and Nifty as well. Are you trying to place an SL order or an order with disclosed quantity? All options on expiry is settled based on the underlying price. If you are trading futures, you can place both SL and target order without requiring additional margin. Do i always need to go on webpage ‘margin calculator’ or it can be quickly checked on pi itself? Just a query, in your calculator i cannot see the margin requirements for writing options (CE/PE) for Nifty Weekly Expiry. Sell PNB Nov 250CE at 10.60 on 05/11/2017 Salil our vendors are clueless about this. Total Margin – 84,309.