Margin Requirements
A margin requirement is the amount of equity (collateral) a client is required to have in their account. The amount is set by futures exchanges using a formula based upon the current value and volatility of a specific contract.
The two common types of margin requirements are initial margin and maintenance margin. Initial margin is the percentage of the purchase price the investor must pay for a position with their own cash on the date of purchase. Maintenance, or variation, margin is the minimum amount to be collateralized in order to keep the open position. It is generally lower than the initial requirement. This allows the price to move against the margin requirement without forcing a margin call immediately after the initial transaction.
> Please click here for ADM Investor Services Margin Rates
> Please click here for Crossland LLC Margin Rates
> Please click here for CME Group's Spread Margin Rates
All margin requirements are subject to change without notice.
