Futures · Rookie
Margin call
What does Margin call mean?
A margin call is a demand for additional collateral after an account no longer meets its margin requirement. A provider may also liquidate positions according to its terms.
Example
A broker requires funds to restore the account to the specified margin level.
Illustrative example; not a provider’s quoted offer.Why it matters for prop traders
Do not assume a warning or a grace period will precede liquidation.
Sources and further reading
The following primary sources support the terminology. Provider rules describe their own products and may change.