Performance Bond Margin
Definition
The amount of money deposited by both a buyer and seller of a futures contract or an options seller to ensure performance of the term of the contract. Margin in commodities is not a payment of equity or down payment on the commodity itself, but rather it is a security deposit. See Customer Margin and Clearing Margin.
Related Terms Other terms related to 'Performance Bond Margin' starting with the letter 'P' Primary Dealer, Point and Figure Charts, Payment In Kind PIK Program, Price Limit Order, Position Trader
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