Investor's equity

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Investor's equity

Investor's Equity

The balance of money or securities an investor keeps in a margin account in order to be able to borrow from a brokerage for short sales or other purposes. Investor's equity is kept as collateral until the brokerage calls the margin and the client pays back what is owed. FINRA requires that investor's equity must be at least 25% of the amount borrowed at all times, while some brokerages require equity of up to 50%. See also: Maintenance.
References in periodicals archive ?
4 million in 2008, "which resulted in a margin call that virtually wiped out the investors' equity," Galvin's office says.
FDI measures the value of foreign investors' equity and net loans to businesses in the country and thus constitute long-term or more durable investments, in contrast to portfolio investments, aptly called 'hot money', which are perceived to be short-term and more volatile.
Liberty's investors' equity funded the Sanjel purchase and committed nearly USD 100m of additional equity for future growth opportunities.
Average return on equity is one of the top financial performance benchmarks, measuring the rate of return that we achieve on our investors' equity.
European investors' equity and bond exposure nudged up.
37% increase in investors' equity for the year ended December 31, 2010.
Lo and behold a bank pops up and agrees to extend the overdraft and finance the sales growth and investors' equity capital is now too expensive in the eyes of the entrepreneur and the deal is lost to the investor.
Greg Sissel, Managing Director of Platte River Ventures, added, "The transaction with AIC Ventures created additional financial flexibility for Tell Tool, while enabling us to utilize our investors' equity capital as efficiently as possible.
Senior Writer editor David Carey examines whether or not investors in the last decade were really smarter in their investment strategies and cites The Daily Deal survey of 62 private equity-backed companies that have filed for bankruptcy, wiping out billions of dollars of investors' equity.
In fact, our research shows that hedge funds as a group protected investors' equity more efficiently in August and year-to-date than other traditional investment vehicles.