customer margin


Safeguards enacted in order to ensure that both parties (buyer and seller) of futures and options contracts fulfill the obligations of the contract.

Use customer margin in a sentence

My lawyer accompanied me to the bank to be sure the bank would honor it's customer margin and indeed follow our contract, just as I must as well.

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My hedge fund manager insisted that his bank include a customer margin clause in his options contract because he wanted to make sure his counterparties paid him off.

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I will never again make the mistake of buying into futures or options without establishing a customer margin to ensure that all contract obligations will be fulfilled.

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