Margin Funding

What is Trigger Price in MTF? What Happens if the Stock Price Falls Below It?

Every MTF position has a Trigger Price, which is calculated based on the initial margin price at which you bought the stock.

If the stock’s Last Traded Price (LTP) drops below the Trigger Price, the system will check if you have any idle funds allocated to equity.

If sufficient funds are available: The system will first attempt to utilize those funds to maintain the position.

If no additional funds are available: The system will automatically square off your MTF position to prevent further losses.

It is important to monitor your Trigger Price and ensure you have adequate margin to avoid automatic position closure.