About this episode
Whenever you have a margin call, offset the instrument that is generating the margin call. Don't meet a margin call with cash.
CTAs with margin to equity ratios of 12-15% are considered aggressive in today's day and age.
Margin is set by the exchanges, but can be made more stringent by the IB or FCM.
Margin levels are set to protect investors as well as the integrity of the exchange mechanism. Margin is considered a good faith deposit on the full notional value of the contract.
Get every episode summarized
Each time Trader Mindset publishes, we email you a written briefing from the transcript — the topics, who appeared, and any specific claims, with the ad reads skipped.
Email me new episodesFree for 3 shows. No card needed.
Hosts & guests
No transcript yet
This episode has not been transcribed. Request it and it moves to the front of the queue.
More episodes
More from Trader Mindset
Unrealized gains don't just disappear
Trader Mindset
Iteration is your key to discovery
Trader Mindset
How to find your optimal trading strategy
Trader Mindset
Narrow your focus to speed your progress
Trader Mindset