What is the ‘Required’ margin on Basket?

The ‘Required’ margin on a basket refers to the overall margin that will be blocked in your Upstox account after the execution of the basket orders. It is important to note that the required margin is not dependent on the sequence of orders within the basket.


While placing the basket, you may notice that the margin requirement could be higher due to the sequence of orders placed. This occurs because an order within the basket might reduce the overall margin requirement while still requiring some margin for placement.


For F&O (Futures and Options) strategies, it is advisable to place buy option orders before future or short/writing option orders. This sequencing ensures that the F&O strategy will be executed with the least margin requirement.


Understanding the required margin helps you assess the impact on your available margin before placing the basket order.

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