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What is the margin required for Nifty futures?

What is the margin required for Nifty futures?

To give you a perspective Nifty’s margin requirement varies between 12-15\%, however individual stock margins can go as high as 45-60\%. Broader economic call – Trading the Nifty futures requires one to take a broad-based economic call rather than company specify directional calls.

What is the margin requirement for futures?

For futures contracts, exchanges set initial margin requirements as low as 5\% or 10\% of the contract to be traded.

Which brokerage gives the most margin?

Best Margin Trading Platform 2021

  • Fidelity – Best Margin Trading Platform for Research & Analysis.
  • Interactive Brokers – The Best Margin Trading Platform for Cheap Financing.
  • Plus500 – The Best Broker for Margin Trading CFDs.
  • Charles Schwab – The Best Broker for Margin Trading Futures.
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Why margin is needed for futures trading?

Margin tells traders how much capital may be needed to enter a position, and how much is needed to keep it open.

What is exposure margin in futures?

The ‘Exposure Margin’ is the margin blocked over and above the SPAN to cushion for any MTM losses. So at the time of initiating a futures trade, the client has to adhere to the initial margin requirement. The entire initial margin (SPAN + Exposure) is blocked by the exchange.

How much margin do brokers give?

Generally speaking, brokerage customers who sign a margin agreement can borrow up to 50\% of the purchase price of marginable investments (the exact amount varies depending on the investment).

What are the margins for Nifty future trading?

Margins for Nifty Future: Margin actually varies from broker to broker. While most of the stockbrokers will ask you Rs.1,55,000 for 1 lot (75 shares) to open a positional trade in nifty future. If you are an intraday trader then you will require 50\% only Rs. 80,000 to trade 1 lot of nifty future (using bracket order /cover order).

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How much amount required to open position in one lot Nifty?

Total amount required to open position in one lot of nifty is Rs.27,000 (approx). This is known as margin amount required to for 1 lot of open position. A trader will need this much amount to buy or short sell Nifty future contract. Consider if we buy one lot of nifty future.

How much money do I need to buy a nifty future?

Consider if we buy one lot of nifty future. One lot of nifty future has 50 quantities. As said earlier we only pay margin amount and not the full amount, which is very big. Full amount is 2,65,000. But we only need Rs.27,000 as the margin amount to hold one lot of nifty future.

Which broker has the highest margin in India for option writing?

Asthatrade brokers provides you with the Highest margin in India for option writing (Selling) as well as buying. As we all know the most traded options in Indian are NIFTY & BankNifty due to their liquidity. Money require to trade 1 lot of NIFTY is just Rs.4000 (MIS).