A deposit contributed by a customer as a percentage of the current market value of the securities held in a margin account is thus the margin amount. This amount changes as the price of the investment changes. basicaly, margin is a buying a security by borrowing funds from a brokerage house.
See Also:
Annual Net Profit Margin Percent: The percentage that the company earned from gross sales for the most recently reported fiscal year.
Margin Account: A customer account in which a brokerage firm lends the customer part of the purchase price of a trade.
Margin Call: A call from a broker signaling the need for a trader to deposit additional money into a margin account to maintain a trade.
Margin Call: A call from a broker signaling the need for a trader to deposit additional money into a margin account to maintain a trade.