In terms of State Development Loans (SDLs), the RBI said initial margin requirement
would be in the range of 2.5 to 6 percent for the same maturity buckets.
You could buy a futures contract by putting up $4,000 per bitcoin, based on a 40% margin requirement
, and "own" the profits if bitcoin rises.
BlomInvest head Fadi Osserian said that according to his recollection of meetings with the central bank governor about the subject of margin requirements
, Governor Riad Salameh was adamant in insisting on the protection of financial markets investors as a priority.
He pointed to a recent survey of 43 treasurers and CFOs conducted by the Coalition for Derivatives End-Users in which 91% of respondents said a margin requirement
would cause them to alter their hedging strategies.
For the sake of sustaining economic growth - and giving people a chance to spend on something other than gasoline - it may be time for those exchanges to boost those margin requirements
(23.) In the exchange-traded derivatives market, parties are subject to a margin requirement
that provides a safety net for unexpected changes in the solvency of the other party.
However, the minimum maintenance margin requirement
for the account is 25%, meaning that the customer's equity must not fall below $15,000 ($60,000 market value multiplied by 25%).
The argument that "low margins make speculation cheap" persuades some observers that low margin requirements
lead to greater stock price volatility.
However, the banks were allowed to set higher margin requirements
keeping in view other factors.
On the Effectiveness of the Federal Reserves's Margin Requirement
. Journal of Finance 37 (June): 783-795.
To satisfy an initial margin requirement
of 50 percent, he advances $6300 in cash and borrows another $6300 from his broker, who also requires a 30 percent safety margin.