Margin
Margin is the collateral a trader must deposit with their broker to open and maintain a leveraged position. Initial margin is required to open the position; maintenance margin is the minimum required to keep it open.
Why it matters for traders
Understanding margin requirements is essential for position sizing. A margin call occurs when your account falls below the maintenance margin level, forcing position closure at the worst possible time.
How Tradapt tracks this
Tradapt tracks actual P&L and account impact rather than margin levels. Ensure your broker's margin requirements are incorporated into your position sizing rules.
Track this free in TradaptFrequently asked questions
What is a margin call?
A margin call occurs when your account falls below the maintenance margin level required to hold your open positions. Your broker will require you to deposit more funds or close positions to restore the margin balance.