Meaning of margin call in English
(Definition of margin call from the Cambridge Business English Dictionary © Cambridge University Press)
Examples of margin call
margin call
When the price of silver dropped below their minimum margin requirement, they were issued a margin call for $100 million.
So at what price would the investor be getting a margin call?
If the margin account goes below a certain value, then a margin call is made and the account owner must replenish the margin account.
Investors demanded that these entities put up additional collateral or be forced to pay back the investors immediately, a form of margin call.
But if they do none of these, then the broker can sell their securities to meet the margin call.
This allows the price to move against the margin without forcing a margin call immediately after the initial transaction.
The broker can also sell the securities if they drop in value and the investor fails to respond to a margin call.
Since margin interests are typically only charged on overnight balances, the trader pays no fees for the margin benefit, though still running the risk of a margin call.
They are limited liability instruments so there are no further payments or margin calls required to maintain a covered warrant position.
Several directors of the company were then forced to dump millions of shares after receiving margin calls.
These examples are from corpora and from sources on the web. Any opinions in the examples do not represent the opinion of the Cambridge Dictionary editors or of Cambridge University Press or its licensors.
