Margin Calls Explained



Explains what happens when margin call event occurs, effect on your margin loan, profit and loss. How to avoid margin calls. Educational example provided. Not about Kevin Spacey movie called Margin loan

Comments

  1. So basically a Margin account uses borrowed money to invest with... sounds like a pretty bad idea to me.
  2. love the movie margin call and the way u say maargin coll
  3. very good - I am about to start in this game
  4. Since a few weeks I begin with Forex CFD and I thougt its realy fun and I did make some money but since today I was frustrated and realy sad. I had some trades by my broker Plus 500 and one trade I had 50 ounces of gold. I set up a win margeline and a lose margeline but the gold trade was going downtrend so I losed all my money with all the other trades of a margin call. Why does my broker stop al the trades and not only the trade that was gonig downtrend?

    I mail them back and they check it for me when I sended the id codes of the trades. They willet me know and I chat also with my broker that she wil ask for a bonus for me. I hope I get my money back as beginner trader... wil that be more like human becouse I am not realy a finacial expert in this deals of Forex buisnis.
  5. Frasier, Season 8, Episode 17 'It Takes Two to Tangle' brought me here. Thanks for the information, now I understand why Frasier's friend was so desperate to sell his watch. He said, 'Between you and me, I'm getting hammered by Margin Calls'.

    The video was fast paced but I got the overall gist of what a Margin Call is for now!
  6. what "no problemo" is? which nonexistent language did you use?
  7. Thanks so much for the concise, easy to understand explanation of a margin call.
  8. Helped me a lot studying the HULL book :)! Thanks man!
  9. excellent explanatory video. the best way to avoid margin calls, in my opinion, is to have no margin at all, lol. and purchase undervalued investments that pay dividends and hold them for the long long term. the phenomena of compounding has a more powerful effect on magnifying returns than do the "magnifying" effects of margin. can't hold margin for the long term.... gotta pay it back eventually. but if i just own a stock for the long term and get dividends, well then, if a person can't see the common sense in that then they will lose their money anyways.
  10. Thanks helped a lot
  11. To bad most people don't know this when they start investing with a broker. I think it's common sense , but common sense isn't common.
  12. Two worse words: Fed Call!
  13. Good video. 
    Borrowing Forex loans or Forex currency exchange? 
    Why Choose Free Forex Funds http://forexfriendloan.blogspot.com/2015/07/why-choose-free-forex-funds.html?spref=tw

  14. There's another way of looking at it. A margin call is the best tip you ever get on a stock. Let it close out and do not add money to a losing position.
  15. I got a margin call this morning for $576. I'm a new investor but I thought I had a grasp on things. I will speak to the margin department in one hour and tell what happens here. After watching this, I'm scared... The stock I'm into is a great company so it should be safe to hold for a few days, but I never want to use margin again! This is bullshit.
  16. I don't agree there aren't any set and forget investments. That is the whole basis of passive long term investing.
  17. even better dont go into debt to buy stocks!!
  18. Hmmm, I might like to invest in the oh-so-sweet-orange mining company.
  19. Very clear thanks.


Additional Information:

Visibility: 58686

Duration: 5m 49s

Rating: 361