What is Margin?

Modified on Fri, 13 Dec, 2024 at 5:02 PM

Margin is the collateral or funds that a trader needs to deposit with their broker or exchange to manage the risks they bring to the trading platform. With Sahi, you deposit funds into your trading account, and based on margin requirements set by both the Stock Exchange and Sahi’s Risk Policy, a portion of these funds is blocked according to your order placements. Sahi makes it easy to see margin requirements before placing any order on the order screen itself. For example, if you're buying a stock for delivery that’s trading at ₹100, you’ll need the full ₹100 to place the order, with a leverage of 1X. However, if you’re trading the same stock intraday, the margin required might only be ₹20, since the position must be squared off by the session’s end. In this case, your leverage is 5X.

Was this article helpful?

That’s Great!

Thank you for your feedback

Sorry! We couldn't be helpful

Thank you for your feedback

Let us know how can we improve this article!

Select at least one of the reasons
CAPTCHA verification is required.

Feedback sent

We appreciate your effort and will try to fix the article