Margining

Portfolio Margin

All accounts will utilize portfolio margin, which results in lower margin requirements and allows users to access more leverage.

Portfolio margin calculates margin requirements by evaluating the risk of the entire portfolio, rather than assessing each position individually.

Calculating Portfolio Margin

Portfolio margin is calculated by determining if the portfolio risk exceeds the available collateral, expressed as:

sum of position risks > account collateral + sum of unrealized position funding + sum of position unrealized PnL

If this holds true, it indicates that the portfolio risk surpasses the portfolio collateral leading to order cancellation or position liquidation.