In China, futures margin can be divided into two categories according to its nature and function: settlement reserve and trading margin. Settlement reserve is generally paid by the unit to the exchange according to a fixed standard, which is prepared in advance for transaction settlement.
Trading margin refers to the actual margin paid by member companies or customers for holding futures contracts in futures trading, which is divided into initial margin and additional margin. ?
Initial margin is the money that traders need to pay when they open new positions. According to the transaction amount and margin ratio, that is, initial margin = transaction amount × margin ratio.
According to the transaction amount and margin ratio, that is, initial margin = transaction amount × margin ratio. At present, the minimum margin ratio in China is 5% of the transaction amount, which is generally between 3% and 8% internationally.