Daily Margin Statement

Daily Margin Statement is required by exchange regulations and provides a detailed view of amounts deposited in the margin statement.

According to the exchange regulations, a daily margin statement is sent to every client on their registered email id. This statement generally informs a client of his or her margin status. The free margins available in their account to take newer positions without any charges or penalties. Also, there is a particular format used for the daily margin statement as told by SEBI

You will have a mixed daily margin statement if you deal with all of the exchanges. All the traded segments will be in one location on a statement for a specific exchange. This means that if you’re dealing with NSE EQ (equity), NSE F&O (equity derivatives), or NSE CDS (currency derivatives), you’re dealing with NSE EQ (equity derivatives). Furthermore, the daily margin statement would include all of these parts.

On Trading Day (T-Day), the daily margin statement should be issued. As soon as the transaction procedure for the day is completed, the margin statements are available to download via the Console login. This occurs around 8.30 p.m.

The client must receive a daily margin statement, which explains how to use the available and leftover margin. It shows the free margin available to take on fresh positions without incurring any penalties. Furthermore, the Securities and Exchange Board of India has mandated a format for this margin statement.

Also Read: Is it safe to trade intraday?

How to Understand a Daily Margin Statement? 

The daily margin statement has the following format:

  • Funds

The closing sum after reversing the debit and credit on the trading hour is included in the funds section. The transaction is shown in the margin statement if you submit a check on the trading day. Brokers do not combine the whole amount of the check in this statement until the bank authorities have approved it.

  • FDR/Bank Guarantees

This page contains all of the information about the initial margin that becomes available after a fixed deposit is made. It is also provided against currency segments or equity derivatives in this daily margin statement.

  • Margin type that has been approved

It is critical to provide an initial margin level when trading currency derivatives or stock derivatives.

  • MTM

This section displays any type of market loss.

  • Margin Status

This section displays the available balance for opening new positions on the following trading day.

  • Upfront Margin

The total SPAN, ideal premium, and exposure margin are all taken into account by investors.

The regular margin report is critical since it gives the trader a clear picture of his or her daily and regular funds. Furthermore, the broker’s report has become a well-known tool for traders to monitor their transactions these days. With the increased use of margin trading, the importance of a daily margin statement has increased.

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