Margin (Trading)
The deposit a broker requires to open and hold a leveraged position.
What is Margin (Trading)?
Margin is the amount of your own capital a broker requires you to set aside as collateral to open and maintain a leveraged trade. Initial margin is needed to open a position, while maintenance margin is the minimum equity that must remain before a margin call or forced liquidation occurs. It is closely tied to leverage: the smaller the margin percentage, the higher the leverage on the position.