Orders & trading
What is Margin?
Hinglish mein padhein: Margin kya hota hai?
Margin is the money you must keep with your broker to take a position, especially in intraday and F&O trades where you control more than you pay.
SEBI's peak margin rules require brokers to collect upfront margin, limiting how much leverage retail traders can take.
If your losses eat into the margin, the broker will ask for more money (a margin call) or close your position.
Related terms
- LeverageLeverage lets you control a position larger than your own money. It multiplies both gains and losses.
- FuturesA futures contract is an agreement to buy or sell an asset at a set price on a future date. Both sides are obliged to settle.
- Intraday tradingIntraday trading means buying and selling the same stock within one trading day, so no shares are delivered to your demat account.