Meaning of margin account in English:

margin account

noun

Finance
  • A type of brokerage account that allows investors to buy securities with borrowed funds, requiring a deposit of cash or assets as collateral to cover the risk on such transactions.

    ‘he had a margin account which let him borrow up to half the cost of the stock he wanted’
    • ‘If there is a change in the market value of the securities in your margin account, we may require additional Collateral.’
    • ‘Unlike short-selling, you don't need a margin account, and you won't owe lenders any interest.’
    • ‘This strategy involves selling borrowed bonds in a margin account in the hope that their prices will fall.’
    • ‘If there were a swing of only 13.75% in the value of the dollar against the Yen then the whole of the margin account would have been wiped out.’
    • ‘Their margin account required a cash deposit of $75,000.’