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Tagged with margin calculation
4
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3
votes
1
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Margin calculation on short and long positions combined
Assume an investor goes long on X1 and simultaneously short on X2 both of which cost $1. With margin rate at 50% he is required to deposit 0.5 + 0.5 = $1 margin to make the transaction. My question ...
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1
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How are net income and yield calculated for margin trading?
You have purchased 150 shares at 10 each.
You expect to sell these at 15 each. You only managed to sell 100.
Out of your initial purchase price, 400$ were borrowed.
Brokerage fee= 2% for the ...
- 21
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1
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How to calculate how far a stock price can drop before a broker would issue a margin call?
Let's say the margin requirement for a stock XYZ is 50%. The current price of XYZ is $150/share. Let us say I put in $100, and borrow $50 from the broker to buy a share.
Typically, how far can the ...
- 16k
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Does financing a portfolio on margin affect the variance of a portfolio?
For example, if the portfolio is financed with 50% margin, does it affect the portfolio variance?
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