| Margin is the collateral that the financial broker requires from the investor to be able to trade with larger amounts, and it is a percentage. The margin percentage varies from one broker to another, but the most popular rates are 1% and 0.5%. It can also reach 0.2%, 5% or higher. Margin requirements not only change from one broker to another; But it also varies depending on the asset classes with the same broker. For example, A broker can ask for a 1% margin for currency trading but may take 5% for stock trading. Want to learn more about this topic? Visit our website to watch our educational video titled 'Margin and Leverage.' |