Angel One calculates exposure margin based on SEBI guidelines and the type of trade. It includes both span margin (risk-based) and exposure margin (extra cushion). For equity delivery, there is no exposure margin, but for intraday, F&O, and margin trades, Angel One applies exposure margin depending on volatility and risk of the stock or contract.

What Is Exposure Margin in Trading?

Exposure margin is an extra safety amount that brokers like Angel One collect over and above the span margin. It protects against unexpected market movements. This margin is compulsory in F&O segments and is fixed by the exchange based on stock volatility and risk.

How Does Angel One Calculate Exposure Margin?

Angel One calculates exposure margin as per NSE and SEBI rules. For equity derivatives (F&O), it usually ranges between 3% to 5% of the total trade value. This is added to the SPAN margin. For example, if the SPAN is ₹20,000 and exposure is ₹5,000, total margin required is ₹25,000.

Does Exposure Margin Apply to All Segments?

Exposure margin is applied mainly in F&O (Futures & Options) and intraday trades. For delivery-based equity trades (CNC), you don’t need to pay exposure margin. Angel One applies exposure margin only when it's required based on the type of trade and risk level of the security.

What Factors Affect Exposure Margin?

Exposure margin depends on the stock’s or contract’s volatility, trade size, and segment. High-risk or high-movement stocks have higher exposure margin. Also, during market volatility or news events, exchanges may increase exposure margins, and Angel One follows that accordingly.

How to Check Exposure Margin Requirements on Angel One?

You can check the exact exposure margin using Angel One’s margin calculator on their app or website. Just enter the stock or contract name, and it will show both SPAN and exposure margin together. This helps you plan your trades better and avoid margin shortfalls.

Why Is Exposure Margin Important for Traders?

Exposure margin is important because it adds a safety buffer to your trades. It protects brokers and traders from big losses due to sudden market changes. Angel One follows all SEBI rules for margin to keep your trading account secure and well-managed.