CFD Margin Calculator

Calculate the margin required to open any CFD position. Enter contracts, contract size, current price, and leverage to find your required deposit.

Maximum retail leverage for indices is typically 5:1–20:1 under EU/UK ESMA rules.

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Formula

CFD margin formula

Notional Value Contracts × Contract Size × Price
Required Margin Notional Value ÷ Leverage × Base→Account Rate

Margin percentage = 1 ÷ Leverage × 100 (e.g. 20:1 leverage = 5% margin rate)

Worked Example

Given

1 S&P 500 CFD · Contract size = 50 · Price = 5,000 · Leverage 20:1 · USD account

Notional Value
1 × 50 × 5,000 = $250,000
Required Margin
$250,000 ÷ 20 = $12,500

Frequently Asked Questions

What is CFD margin?
CFD margin is the deposit required to open a position. It is a fraction of the total notional value — the higher the leverage, the smaller the deposit. For example, at 20:1 leverage you need to deposit 5% of the notional value. Margin is not a cost; it is held as collateral and returned (adjusted for P&L) when the trade closes.
How is notional value calculated?
Notional value equals the number of contracts multiplied by the contract size multiplied by the current price. This represents the full economic exposure of your position, before leverage is applied. A 1-contract S&P 500 CFD at 5,000 with a contract size of 50 has a notional value of $250,000.
What is the margin formula?
Required Margin = (Contracts × Contract Size × Price) ÷ Leverage, converted to your account currency. So for 20:1 leverage on a $250,000 notional, margin = $250,000 ÷ 20 = $12,500.
What happens if my account falls below margin?
If your account equity drops to the maintenance margin level (typically 50% of initial margin), your broker will issue a margin call. If you do not deposit additional funds, the broker may automatically close your position at a loss. Always keep sufficient buffer above the margin requirement.