Does ADL Affect the Mark Price or the Index Price?

ADL does not directly affect the mark price or the index price. The mark price is an estimated fair value used for calculating unrealized P&L and liquidation thresholds, typically based on the index price.

ADL is a risk management operation that only affects the size of a trader's position, not the underlying price references used by the exchange.

How Does a Trader Adjust the Leverage Level on a Cross-Margin Position?
What Is a ‘Ring Size’ and How Does It Affect Transaction Privacy?
Does ADL Affect a Trader’s Realized Profit?
How Is a Trader’s Position Size Factored into the ADL Process?
How Does the Exchange Notify a Trader of ADL?
How Does the Exchange Calculate a Position’s Unrealized P&L Using the Mark Price?
Does Cross Margin Affect the ‘Mark Price’ Calculation?
What Data Is Included in a Typical ADL Notification?

Glossar