Which of the following is incorrect about futures margin?
A) In a futures margin account, the initial margin is always higher than the maintenance margin.
B) The margin on a futures account is verified daily to ensure minimum margin requirements are met.
C) The initial margin for a futures transaction is the same for a long and a short position.
D) All margin initially deposited in a futures purchase must always remain until the position is closed or the contract expires.
E) The initial margin requirements for futures contracts differ for each different contract.

Question

Quizplus · Accepted Answer

This statement is incorrect as the excess margin may be withdrawn from the account at any time, as long as the remaining margin is sufficient to cover the margin requirement.

Which of the Following Is Incorrect About Futures Margin