Topic: types of margins

Have you ever spotted a stock, and your gut tells you it’s time to make a move? But wait! How much margin can you afford? What’s the risk? These questions force you to stop. Margin—the financial cushion that allows you to trade beyond your actual capital—holds the key. It’s the bridge that allows traders to borrow funds from a broker to expand their buying power in the market. It’s crucial because it enables you to take larger positions than their initial investment would otherwise allow. But ca...