margin agreement


Also found in: Acronyms.

Margin agreement

The agreement governing customers' margin accounts.

Margin Agreement

An agreement between a brokerage and a client governing a margin account. The margin agreement enables the client to borrow from the brokerage in order to buy securities. The agreement details what collateral must be placed on the account and the other duties each party must fulfill. The client must sign the margin agreement before the margin account is created.

margin agreement

The written document that describes the functioning of a margin account and permits a customer's broker to pledge securities in the account as collateral for loans. A customer must sign a margin agreement before undertaking trades on credit in an account. Compare customer's loan agreement.
References in periodicals archive ?
Commodity Futures Trading Commission (CFTC), the regulatory agency working to implement Dodd-Frank, non-financial end-users would be required to obtain a CSA to describe how their company's swap transactions would be covered under collateral or margin agreements.
It's important to note that increasing rates of CPAP resupply orders and higher margin agreements are key barometers for how we are successfully providing timely and high-quality sleep management programs," added Nelson.
18 /PRNewswire-FirstCall/ -- Document Sciences Corporation today announced xPressContracts, a revolutionary new way for financial organizations to initiate, negotiate and manage contracts such as Prime Brokerage Agreements, Margin Agreements, ISDA Master Agreements, CSA's and others, all within a collaborative solution that uses Microsoft(R) Word as the business user tool.