Security deposit (initial)
Synonymous with the term margin. A cash amount that must be deposited with the broker for each contract as a guarantee of fulfillment of the futures contract. It is not considered as part payment or purchase. Related: Margin.
Nearby TermsSecurity Security characteristic line Security deposit (initial) Security deposit (maintenance) Security Industry Automated Corporation (SIAC)
Copyright © 2011 Campbell R. Harvey, Professor of Finance, Fuqua School of Business at Duke University