[Kite] Understanding margin available vs. account value

Hi,

I am a complete beginner in trading and only recently opened my Zerodha account. Currently going through Zerodha’s Varsity modules to gain an understanding of how things work. I am also currently observing the graphs and trying to identify patterns which I read about and drawing basic deductions, but haven’t started real investing yet.

I put in Rs. 5000 in the equity segment, but haven’t bought/sold anything yet. When I completed the transfer, the margin available was equal to the amount i transferred. However, now after a few hours, the margin available has become twice the account value i.e. Rs. 10000. Can someone please help me understand what just happened? Why are the two amounts different even though I haven’t traded anything?

I Google’d to see if I can find something but I only came across this: https://www.quora.com/What-is-the-difference-between-margin-available-and-account-value-in-Zerodha
This did not help me understand, because I have no shares holding. Any help would be appreciated.

Thanks!

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Watch now, sometimes after market closes during server updates it show wrong capital, wrong p/L, nothing to worry.

Just login now and see correct capital

Total Account value in Kite

Total account value = Margin available - Margin used.

The funds you transfer will be added to Margin available to trade. During the trading day, if your market transactions result in a credit of funds to your trading account, then margin used will show a negative value and will be added to Total account value. If your market transactions result in a debit of funds from your trading account, then margin used will show a positive value and will be debited from Total account value.

As to why the amount has been updated twice, it has been discussed here.

Congrats, way to go!

Thanks for the responses! @IntradayMaster was right, the balance was updated in the morning to reflect the correct amount. Thanks!

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Hi I am also new to Zerodha, In Short does it means that if credit of funds I am running in loss and if debit of funds than I am in profit??? does negative account value indicate loss and positive account value indicates profit?? Please explain

If Margin Used is negative, it means profit ,and vice versa