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Initial margin

The collateral posted against a position on the derivatives market.

When the metric lies

Also known as: initial margin, margin requirement

Related terms

Next step in Derivatives without illusions · explainerMargin: Why Your Position Can Be Closed Without Your InvolvementMargin is not a fee paid to the broker and not a part of the asset's price, but a sum in your account that is blocked against the risk of a position already open.Read next →
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