Margin Calculator
Estimate the capital required and leverage for a position at a given margin percentage.
At a 20% margin you fund ₹10.00K of a ₹50.00K position, giving 5.00× leverage. Actual margin varies by broker, segment, and instrument volatility (real F&O margins combine SPAN + exposure) — this is a simplified generic estimate.
Independent · No commissions · No fund-house data — how the numbers are computed
How it works
This calculator shows the capital needed to take a leveraged trading position. Enter the quantity, the price per share and the margin percentage your broker requires — it computes the full position value, the margin you must put up, and the resulting leverage. At a 20% margin, a ₹5 lakh position needs ₹1 lakh of capital and carries 5× leverage.
Margin is the fraction of a position's value a trader must deposit; the broker effectively funds the rest. The leverage is simply the reciprocal: 100 divided by the margin percentage. A 50% margin gives 2× leverage, 20% gives 5×, 10% gives 10×. Leverage scales both directions — at 5×, a 2% move in the stock is a 10% move on your capital, up or down.
This is a simplified, generic estimate. Real margin requirements vary by broker, segment and the instrument's volatility: F&O margins combine SPAN and exposure components recomputed through the day, and SEBI's peak-margin rules cap intraday equity leverage. Use it to understand the arithmetic of a margin figure, then check the broker's actual requirement for the specific instrument.
Margin required = Position value × m/100, Leverage = 100/m, where Position value = Quantity × Pricem is the margin percentage the broker requires. The margin is the trader's own capital in the position; leverage is the position value per rupee of that capital — a 20% margin means 5× leverage.
Frequently asked questions
What is margin in trading?
Margin is the portion of a position's full value that a trader must deposit with the broker to open it; the rest is effectively financed by the broker. At a 20% margin requirement, buying ₹5,00,000 of stock needs ₹1,00,000 of the trader's own capital. The margin acts as a buffer against losses — if the position moves against the trader, losses come out of the margin first, and the broker can demand more (a margin call) or square off the position.
How is leverage calculated from margin?
Leverage is 100 divided by the margin percentage. A 50% margin gives 2× leverage, 25% gives 4×, 20% gives 5×, and 10% gives 10×. Leverage measures how much position value each rupee of your capital controls — and it amplifies returns symmetrically: at 5× leverage, a 2% favourable move in the instrument is a 10% gain on your capital, and a 2% adverse move is a 10% loss.
What are SPAN and exposure margin?
For futures and options, exchanges compute margin in two parts. SPAN margin is the risk-based core, set by simulating the portfolio's worst plausible one-day loss across price and volatility scenarios; it changes with the instrument's volatility. Exposure margin is an additional fixed-percentage buffer charged on top. A broker's F&O margin is SPAN plus exposure, recomputed through the day — which is why a flat percentage, as this calculator uses, is only an approximation for derivatives.
Why does my broker's margin differ from this calculator?
Because this calculator applies one flat percentage you choose, while actual requirements are instrument-specific. Brokers and exchanges set margins by segment and volatility: intraday equity margins follow SEBI's peak-margin rules (a minimum of 20% of trade value, i.e. at most 5× leverage), F&O margins combine SPAN and exposure components, and volatile stocks attract higher requirements. Use the broker's own margin file for the instrument; use this to understand what a given percentage implies.