option margin

Option margin

The margin requirement for options described in Regulation T and in brokers' individual policies.

Option Margin

The initial margin or maintenance margin that an investor must deposit with a brokerage as collateral in order to purchase options with borrowed money. The option margin is set by Regulation T, but some brokerages have higher requirements.

option margin

The margin requirement to open and maintain an option position. Federal Reserve Regulation T sets minimum option margins, although individual brokerage firms may establish more strict requirements.
Mentioned in ?
References in periodicals archive ?
In conjunction, the company has arranged for the refinancing of the USD36.5m of margin loans secured by its Tourmaline Oil Corp (TOU Share Put Option Margin Loans) shares as they mature in August and November of 2017.
According to the company, the existing TOU Share Put Option Margin Loans will be repaid through a combination of a replacement, one year term, non-revolving loan equal to 40% of the value of Perpetual's 1,667,000 TOU share investment and additional borrowings under its reserve-based credit facility.
Traders have direct market access to options, stocks, futures, forex, bonds and more from over 80 market destinations around the World in a single online account, enabling them to experience the best price execution, ultra low trading commission, live streaming quotes, low option margin, high interest earned and low financing costs.