cross-margining

Definition of "cross-margining"
  1. A process that collectively calculates the required security pledge for interrelated stocks, options, and futures contracts that are cleared through multiple clearing organizations
How to use "cross-margining" in a sentence
  1. A trader used cross-margining to optimize her position across multiple assets.
  2. The brokerage firm offers cross-margining opportunities, which allow clients to leverage their diverse portfolios.
  3. Cross-margining can bring benefits but also potential risks to the investor.

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