What is margin money in trading account


This article needs attention from an expert on the whst. Please add a reason or a talk parameter to this template to explain the issue with the article. Consider associating this request with a WikiProject. (April 2012)In finance, margin is collateral that the holder of a financial instrument has to deposit accoint a counterparty (most often their broker or an exchange) to cover some or all of the credit risk the holder poses for the counterparty.

The BasicsBuying on margin is borrowing money from a broker to purchase stock. You can think of it as a loan from your brokerage. To trade on margin, you need a margin account. This is different from a regular cash account, in which you trade using the money in the account. By law, your broker is required to obtain your signature to open a margin account. I answer, of course yes, in fact I am a binary options trader. trrading However I yrading that being a trader of binary options is a lot like being extreme athlete and in addition to high performance.

Nobody imagines that you can be able to lose a kilo for each session.




What is margin money in trading account

What is margin money in trading account