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.

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 The excess margin is available to be used as collateral for margin loans, or it may be withdrawn and used for any other purpose.

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 Excess margin may be withdrawn or used to purchase more securities.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.
References in periodicals archive ?
After volatility in the investment markets led to a negative excess margin in 2008, Steere House has returned to positive bottom lines with a 4.
Combined with investment income results that were closer to historical levels, Steere House posted a solid excess margin of 4.
7 million in fiscal 2006, which resulted in an excess margin of 2.
Through the eight month interim period, MCH's excess margin was 6.
For fiscal 2005, PVM reported a negative excess margin of 2.
RRI has maintained a strong excess margin, averaging 6.
Excess margins are also positive though more erratic because of volatility of investment income.
1% in 2004, and excess margins sharply increased for the third consecutive year to 4.
Through the three months ended March 31, 2006 MedAmerica had an operating margin and excess margins of 1.