The Initial Margin requirement is the minimum amount which is required to open a new position. Initial Margin may be a component used in various calculations, such as Available Funds.
More information on margin can be found on our website.
What is Initial Margin?
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How do I set a limit on using margin?
When you open a margin account you have the ability to borrow from IBKR. You can not set a limit or a set only a specific amount of margin to use in a margin account. If the account has sufficient Available Funds then a new order would be accepted. There is a calculated margin requirement for positions in a margin type account displayed as an Initial margin and Maintenance margin requirement. In addition to contracts traded in the account any borrowed cash from Forex trading or from trading outside the account’s Base Currency can have a calculated margin requirement. There are tools available so you can monitor your account’s margin requirements and cash balances in real time or as a daily snapshot…
What happens if my account does not meet margin requirements?
If your account does not meet margin requirements, several consequences may occur:
- Restrictions on Opening New Positions:
- You cannot open new positions that increase initial margin if your Equity with Loan Value (ELV) is less than the Initial Margin Requirement…
How is Available Funds calculated for a margin account?
Available Funds is an important metric in a margin account that represents the amount available to open new positions. At Interactive Brokers, we calculate Available Funds using the following formula:
Available Funds = Equity with Loan Value (ELV) - Total Initial Margin Requirements…
Margin Requirement Terms
Fields below relate to the Margin Requirements section of the Account window.
| Margin | Securities Account | Commodities Account |
| Reg T | Initial margin requirements calculated under US Regulation T rules. | Not applicable |