Margin | Margin is a good faith deposit. In leveraged trading, the margin amount is the minimum amount of free equity required before opening a new trade. This is held in deposit while the trade is open. - Initial Margin is an amount of money, which is due from you at the time the Position is entered into.
- Variable Margin is an amount payable when a Position moves against you.
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Margin Account | A brokerage account in which the broker lends the customer cash to purchase securities. The loan in the account is collateralized by the securities and cash. If the value of the stock drops sufficiently, the account holder will be required to deposit more cash or sell a portion of the stock. In a margin account, you are investing with your broker’s money. By using leverage in such a way, you magnify both gains and losses. |
Margin Call | A broker’s demand on an investor using margin to deposit additional money or securities so that the margin account is brought up to the minimum maintenance margin. Margin calls occur when your account value depresses to a value calculated by the broker’s particular formula. This is sometimes called a “fed call” or “maintenance call.” You would receive a margin call from a broker if one or more of the securities you had bought (with borrowed money) decreased in value past a certain point. You would be forced either to deposit more money in the account or to sell off some of your assets. |
Market Depth | Lists all the buy and sell orders in the market for a particular security and organised by price level. |
Market Execution | An order that is executed at the best price available in the market, with no requotes. |
MAS | Monetary Authority of Singapore, the financial regulator in Singapore, also the default central bank of the country. |
Market Order | An order that you use to specify the direction and size of a trade, but not the price. This ensures your order will be filled as quickly as possible. |
Mark-to-Market | The daily adjustment of an account to reflect accrued profits and losses often required to calculate variations in margins. |
Mid Price | The bid plus the offer, divided by two. |
Mining | This is the process of using computer power to process transactions on a blockchain. Miners are rewarded with newly created cryptocurrency for each block they process. |
Money Management Systems | MAM, PAMM, and LAMM are different money-management systems. MAM (Multi-Account Manager) accounts allow manager to assign a higher leverage to specific sub-accounts. - Under PAMM (Percent Allocation Management Module), the investors’ portfolio is affected by the size of their deposits.
- Typically, the PAMM manager is also trading with his/her own funds.
- Under LAMM (Lot Allocation Management Module), whenever the manager buys one standard lot of an asset, every customer’s account would automatically increase by one standard lot. Unlike PAMM, the system does not consider the size of each investor’s deposit.
More Information
https://oxsecurities.com.au/partnerships/introducing-brokers/
https://oxsecurities.com.au/partnerships/money-managers/
https://oxsecurities.com.au/partnerships/white-label/
https://oxsecurities.com.au/partnerships/regional-partnerships/ |
MetaTrader 4 (MT4) | MT4 is an electronic trading platform widely used by online retail foreign exchange speculative traders. It was developed by MetaQuotes Software and released in 2005. The software is licensed to foreign exchange brokers who provide the software to their clients. The software consists of both a client and server component. The server component is run by the broker and the client software is provided to the broker’s customers, which use it to see live streaming prices, charts and to place orders as well as manage their account. More Information:
https://oxsecurities.com.au/trading-platforms/metatrader-4/
https://oxsecurities.com.au/trading-platforms/metatrader-5/
https://oxsecurities.com.au/trading-platforms/iress/ |
