Sentences with phrase «in a margin account»

We make this information available to you to provide some basic facts about purchasing securities on margin, and to alert you to the risks involved with trading securities in a margin account.
It's important to weigh the risks and the advantages of trading in a margin account, relative to a cash account.
It also refers to the amount of equity contributed by an investor as a percentage of the current market value of securities held in a margin account.
Interest is also charged on the amount borrowed to purchase stock in a margin account.
Indian strategies may be tailor - made to fit within specific rules, such as high minimum equity balances in margin accounts.
To comply with regulations on margin investing, you must maintain a certain amount of equity in your margin account at all times, depending on the securities held in the account.
You can lose more funds than you deposit in the margin account.
Investing money in a margin account means that you are borrowing money from your financial institution to invest in the capital markets.
A set minimum amount (per outstanding futures contract) that a customer must maintain in his margin account to retain the futures position.
So for instance stock brokers can make use of securities and cash in margin accounts, for stock - lending and other purposes.
You have to keep enough assets in your margin account to cover the loan value at all times.
In margin account sales, the buyer pays a portion of the purchase price and the broker lends the difference.
I decide that Since, in effect, I am short a call in my margin account, I've made enough profit that I'll but it back.
We do not convert funds automatically in a margin account because you can have a debit cash balance.
If there is sufficient margin in the margin account where the stock has been sold, investor may carry on to immediately purchase other securities.
Due to the fact that buying stocks on margin can be a highly risky investment if the stock price decreases, all purchases must be made in margin accounts.
The latest thing is the new system does not allow you to withdraw funds if you have a negative cash amount in you margin account!
Did you know that you're fully liable for the funds you've borrowed in your margin account?
A broker will only approve for a trader such an account if the broker is satisfied that there are adequate funds in the margin account.
If the value of the securities in your margin account decline, you may be required to deposit cash or additional securities.
Suppose my broker lets me do this if I have 50 % of the stock value in my margin account - in this case $ 4.
Short selling, on the other hand, is usually conducted only in a margin account.
Brokerage firms require that certain options transactions, such as writing uncovered calls, take place in a margin account.
Most leveraged ETFs do not behave like a leveraged position in a margin account.
This is also the reason why settlement at maturity takes place at the final settlement price - all previous changes in price are already reflected in your margin account.
You must have at least $ 2,000 in your margin account before buying stocks on margin.
If money is kept in margin account maintained with the broker, you do not earn anything on that money.
Short selling can generally only be undertaken in margin accounts.
Hi My bank over charge me interest in my margin account that I used to invest in stocks.
Chances are you'd expect your requirement in a margin account to be somewhere around half that amount.
The average investor will be better off investing for the long term in a cash account, rather than trading for the short - term in a margin account.
One can utilize the same strategies used for minimizing risks in margin accounts when short selling.
The difference between the ETF in a margin account and the 2x ETF is that the 2x ETF maintains constant leverage and the margin account does not.
Your buying power consists of your money available to trade in your account, plus the amount that can be borrowed against securities held in your margin account.
Every time you perform a new trade, part of the account balance in the margin account is put aside as the initial margin requirement of the trade.
Minimum investment amount — The investment firm sets the minimum amount you must deposit in a margin account.
On the up side, when you trade in a margin account, you can typically borrow up to 50 % of the cost of any new securities.
Equity, in the context of margin trading, is the total value of securities in the margin account minus what has been borrowed from the brokerage firm.
Additionally, you're always required to maintain a minimum level of equity in a margin account; usually about 30 % to 35 % for most stocks.
Maintenance margin A set minimum margin per outstanding futures contract that a customer must maintain in their margin account.
Invest in the same products as a Cash account, leverage borrowing opportunities as in a Margin account, and hedge income opportunities using options.
The reason it's not automatic is that Questrade doesn't want to force you to convert in margin accounts at the time of buying the stock.
As soon as the money in the margin account starts going down and reaches the minimum margin level, the dreaded Margin Call is made to the trader by the broker.
If the equity in a margin account falls below the maintenance margin, the broker will issue a margin call, which requires that the investor deposit more cash into the margin account to bring the level of funds up to the maintenance margin, or liquidate securities in order to fulfill the maintenance amount.
Any customer who executes four or more «day trades» within five business days, provided that the number of day trades represents more than 6 % of the customer's total trades in the margin account for that same five business day period.
Margin Call is, therefore, the demand made by the broker to the trader to deposit additional cash or securities to his margin account so that the balance in the margin account reaches back the minimum margin requirement.
When it come to the interest own on my margin, I already deposit a 149.50 $ in my margin account (my Quebec provincial tax cheque).
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