excess margin

Excess margin

Equity present in an individual's account above the legal minimum required for a margin account or the maintenance requirement at a brokerage firm.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Excess Margin

Cash or securities that one has deposited in a margin account over and above the minimum maintenance requirement. The excess margin is available to be used as collateral for margin loans, or it may be withdrawn and used for any other purpose.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

excess margin

The dollar amount of equity in an investor's brokerage margin account that is in excess of what is necessary for meeting either initial margin or maintenance margin requirements. An investor with $30,000 of unmargined securities has an excess initial margin of $15,000 (with Regulation T margin of 50%) and an excess maintenance margin of $22,500 (if the maintenance requirement is 25%). Excess margin may be withdrawn or used to purchase more securities. See also special miscellaneous account.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
References in periodicals archive ?
These improved marketing efforts and census levels lead to an improved core operational performance in fiscal 2017 as evidenced by its 99.4% operating ratio, 3.7% NOM, 11.3% NOM-adjusted, and 0.9% excess margin. These metrics remain substantial improvements from fiscal 2016 when Harrogate had a 118.9% operating ratio, negative 15.3% NOM, and negative 13.1% excess margin.
The interest rate swap provided some liquidity and credit enhancement support through a guaranteed excess margin and the payment of servicing fees on the portion of the portfolio composed of resettable loans (currently 25%).
SOLID HISTORICAL PERFORMANCE: Over the last three fiscal years, FSL has averaged an 92.7% operating ratio, 7.6% net operating margin (NOM), 26% NOM-adjusted, and 15% excess margin which all compare favorably to Fitch's 'BBB' category medians of 97.4%, 7.7%, 21.2%, and 1.7%, respectively.
30, 2017, ACV had a 102.6% operating ratio, 0.7% net operating margin (NOM), and a negative 9.9% excess margin, all weaker than Fitch's 'BIG' medians of 101.5%, 9.5%, and negative 2.9%, respectively.
In fiscal 2018, GOG had a 91.5% operating ratio, 17.6% net operating margin, and 0.8% excess margin which all compare favorably to Fitch's BIG medians of 101.6%, 5.1%, and negative 1.3%, respectively.
From July 2010 through September 2011, FINRA says, Pershing also failed to promptly obtain and later maintain physical possession or control of certain customers' fully paid and excess margin securities.
Bloomberg reports that JPMorgan Chase and Co (NYSE:JPM) will allow its customers to automatically aggregate excess margin into a separate bank account at JPMorgan Chase Bank N.A.
(Or, perhaps more accurately, it was assumed there was sufficient inefficiency and excess margin at the supplier level to absorb those hidden costs.)
--The excellent occupancy levels have translated into solid historical profitability, as excess income has averaged $1.4 million (8% excess margin) over the past four fiscal years, the majority of which has been generated through core operations.
We must follow the German lead and demand not 4p, but increase the farm gate price to 27p per litre, which is a realistic price and should come out of the supermarkets' excess margin without increasing price to the housewife.