How do you calculate additional margin required for FuturePLUS positions when the available margin is below the minimum margin required?
In that case, margin required on executed position is re-calculated by taking CMP of respective FuturePLUS position(s) and the FuturePLUS IM % . Available margin as calculated above should now be compared with the required margin and amount for additional margin call is arrived at. For example say you have bought 100 shares of Futures- ACC-26-Jun-2008 at Rs.150 and FuturePLUS IM is 20% and minimum margin is 10%. You would be having a margin of Rs.3000 blocked on this position. The current market price is now say Rs.130. This means the effective available margin Rs. 1000/- which is less than the minimum margin of Rs 1500/- and hence additional margin to be called in for. Additional margin to be calculated as follows: (a) Margin available Rs.3000 (b) Less : MTM Loss (150-130)*100 Rs.2000 (c) Effective available margin (a-b) Rs.1000 (d) Minimum Margin 100*150*10% Rs.1500 (e) Re-calculated margin 100*130*20% Rs. 2600 a. Additional margin Call (e-c) Rs.
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