An MTF (Margin Trading Facility) calculator is an online financial tool that helps investors understand the economics of buying stocks on margin through Ventura's MTF product — computing the funded amount, investor margin required, daily interest cost, and the break-even return needed to cover financing charges. Inputs include the total purchase value of the stock, the investor's own margin contribution (minimum 50% of trade value under SEBI's MTF framework), the MTF interest rate charged by the broker (typically 12% to 18% per annum), and the intended holding period. The MTF calculator shows the investor the exact daily interest cost on the funded amount — helping them assess whether the stock's expected price appreciation justifies the financing cost. For example, if a stock is expected to generate 20% returns over six months but the MTF interest cost over the same period amounts to 8% on the funded portion, the net incremental return from using MTF (versus buying with available cash alone) needs to be weighed against the amplified downside risk. Ventura's MTF calculator also shows the margin call trigger price — the price below which additional margin must be deposited — helping investors plan risk management thresholds. This makes the MTF calculator an essential pre-trade tool for disciplined margin trading in Indian equity markets.
For android only
