What is Balance, equity, margin, free margin and margin level mean? : Fusion Markets

What is Balance, equity, margin, free margin and margin level mean? Print

Modified on: Sat, 10 Jul, 2021 at 12:38 AM

Balance - the value of your account before considering any current open positions.

Equity - This would be the current value of your account if all current positions were closed.

Margin - The amount of money you need to have, and maintain, in your account to cover any open positions.

Free Margin - The difference between your Equity and the Margin amount above.

Margin Level - This is the ratio of Equity to Margin, calculated by the following formula: 

(Equity / Margin) x 100 = Margin Level

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