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What is Margin?

July 6, 2021 By James Rabinovich Leave a Comment

A

What is Margin?

There are two meanings. 

1. In finance, the margin is the collateral that an investor has to deposit with their broker or exchange to cover the credit risk the holder poses for the broker or the exchange.

2. In futures markets, a margin is a sum of money that must be put up to support a trade.

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James Rabinovich
James Rabinovich
James Rabinovich
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