Comment on Updates at Zerodha - June 2014

pravinb1 commented on 13 Jun 2014, 10:35 PM

Hi nithin,

Request you to kindly lower margins for spread orders. Orders like butterfly, bull call spread and so on. In butterfly the risk of loss is restricted to the cost of premiums. Still margin calculator shows margin of Rs 45000 for 1 butterfly plus the cost of premiums. You provide reduced margins for calendar spread the same logic can be applied to all spreads. That will be very handy for all option traders.

Note: The same is provided at US markets http://ibkb.interactivebrokers.com/article/603

Please also check http://www.cboe.com/learncenter/pdf/margin2-00.pdf
which is applicable at Us markets. Definitely that is provided since the risk does not exist.

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