Dictionary
- Maintenance or variation margin
- An established value under which a trader's margin cannot fall. Reaching the maintenance margin triggers a margin call.
- Margin
- The amount paid by the customer when using a broker's credit to buy or sell a security.
- Margin Account
- An account with a brokerage firm that allows its clients to buy securities with money borrowed from the broker.
- Margin call
- A demand for a client to deposit money or eligible securities with the broker to bring a margin account up to the initial margin or minimum maintenance requirements. A margin call is sent when the margin account's equity falls below specific levels.
- Margin Trading
- Buying securities, in part, with borrowed money.