margin call

noun, verb — 2 senses

margin call

nounalso spelled margin-call
1

Business, Finance A request by a stockbroker or similar for a client to deposit more money in order to cover losses that have built up in open positions held on margin (rather than having been paid for in full).

  • In a liquidity crisis, as we have seen all too recently, a sudden tightening of credit sets off a vicious cycle of margin calls that lead to forced sales, which in turn cause asset prices to plunge, and so on.2009 August 9, Mark Hulbert, “Buy and Hold, or Buy and Fold. But Don't Waver.”, in The New York Times, New York, N.Y.: The New York Times Company, →ISSN, →OCLC, archived from the original on 26 Nov 2022:
Related terms
margin-call

margin-call

verb
1

To issue a margin call to (someone).

  • Not only was Merrill margin-calling subprime lenders, but it was now margin-calling a subprime hedge fund managed by one of its fiercest competitors.2008, Paul Muolo, Mathew Padilla, Chain of Blame: How Wall Street Caused the Mortgage and Credit Crisis, Hoboken, N.J.: John Wiley & Sons, Inc., →ISBN, page 243:
  • The natural question after Tesla's recent tumble: At what point could the Technoking be margin called?2023 January 11, Tom Maloney, Dana Hull, “Elon Musk Might Never Be the World's Richest Person Again”, in Bloomberg, New York, N.Y.: Bloomberg L.P., →ISSN, →OCLC, archived from the original on 11 Jan 2013:

Entry derived from the Wiktionary, under licence CC BY-SA 4.0 — authors: page histories for margin call and margin-call.