Hedge Benefit

Does margin benefit apply to both Buy-first and Sell-first hedge structures?

Yes. Whether you start with a Buy or a Sell, margin benefit is given as below:

• If you hold a single, unhedged position, full margin is charged as per SPAN system.
• Once you add an offsetting position (a hedge), your overall risk reduces. SPAN system recalculates and blocks only the  final reduced margin required.
• The difference between the full margin before hedge position creation and the final reduced margin post hedge position creation is released back to your account instantly.