Variation Margin

Funds, which are required to bring the equity in an account back up to the initial margin level, calculated on a day-to-day basis. When the trader’s initial margin required to keep a trade open falls below the maintenance margin, the broker will require the trader to fund the account back above the maintenance margin so that the trade stays open. This is what the variation margin is all about.

By |2018-09-04T15:32:50+00:00September 4th, 2018|0 Comments

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