Comment on Zerodha - Margin Policies

vinayak commented on 01 Oct 2014, 03:29 PM

Dear Nithin

I believe total margin is SPAN margin plus additional margin (RMS margin) – I believe the SPAN is calculated based on volatility and VaR and mandated by exchange; how is RMS margin calculated at Zerodha?

Also on related trades (e.g. selling a CE option covered by purchase of future contracts) SPAN calculator shows there is a margin benefit; does a similar margin benefit apply to RMS margin as well?

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