# Calculation of the Free Margin for MT5 Account

**URL:** <https://community.deriv.com/t/calculation-of-the-free-margin-for-mt5-account/31298>\
**Category:** Deriv MT5\
**Tags:** mt5, cfd\
**Created:** [May 26, 2022, 11:44am UTC](https://community.deriv.com/t/calculation-of-the-free-margin-for-mt5-account/31298 "2022-05-26T11:44:47Z")\
**Posts on this page:** 2\
**Page:** 1

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**Author:** ![Sakina\_derivadmin](https://sea2.discourse-cdn.com/flex020/user_avatar/community.deriv.com/sakina_derivadmin/32/5512_2.png) [@Sakina\_derivadmin](https://community.deriv.com/u/Sakina_derivadmin)\
**Post date:** [May 26, 2022, 11:44am UTC](https://community.deriv.com/t/calculation-of-the-free-margin-for-mt5-account/31298/1 "2022-05-26T11:44:47Z")

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Dear Members,

Free Margin refers to the funds available for trading in a trading account, and it can be determined by subtracting the margin of open positions from the Equity. The Equity is calculated by adding or subtracting any profits or losses from open positions to the account Balance. The approach for calculating Free Margin in MT5 accounts varies based on the account type. For synthetic MT5 accounts, if there is a negative profit/loss from open positions, the Free Margin is calculated by subtracting the Margin from the Equity. On the other hand, if there is a positive profit/loss from open positions, the Free Margin is determined by subtracting the Margin from the Balance. For other MT5 accounts, the Free Margin is calculated as the difference between the Equity and Margin.

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<div class="post-metadata">

**Author:** ![Sakina\_derivadmin](https://sea2.discourse-cdn.com/flex020/user_avatar/community.deriv.com/sakina_derivadmin/32/5512_2.png) [@Sakina\_derivadmin](https://community.deriv.com/u/Sakina_derivadmin)\
**Post date:** [May 27, 2022, 6:02am UTC](https://community.deriv.com/t/calculation-of-the-free-margin-for-mt5-account/31298/2 "2022-05-27T06:02:16Z")

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