Home | Summaries | Quote Us | About Us | Contact
What Is Variation Margin?
Variation margin is the amount of cash that is required to bring a futures margin balance back up to the initial margin level.
Whenever the margin balance of a futures position fall below a certain level known as the maintenance margin level, the futures trader is required to provide more cash in order to top up the margin balance back to the initial margin level and this additional cash is known as Variation Margin.
Read the full tutorial on Variation Margin.