What control measures does the risk team take during high volatility?

Risk management is a crucial function of any broker. Overseeing many client accounts and ensuring that clients don’t have a short fall in margin is an important task and that falls under the purview of the Upstox Risk Management Team.
As per our policy, if a client’s MTM (mark-to-market) loss falls below 80% of his margin available, then the client will be required to add funds in order to cover up his loss. If he fails to do so within a reasonable amount of time, or if his MTM drops further, the risk managers at Upstox have full discretion to square off his positions. This is done to protect both the client and the broker as the client has used intraday margin to enter his positions.

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