Get Fidelity Margin Application Online Form 2007-2024

The initial margin requirement is currently 50% of the purchase price for most securities, and it is known as the Reg T or the Fed requirement, which is set by the Federal Reserve Board. In addition, Fidelity requires customers to have a minimum account equity of $2,000 when placing orders on margin.

Initial margin requirement For new purchases, the initial Regulation T margin requirement is 50% of the total purchase amount. So if you wanted to buy $10,000 of ABC stock on margin, you would first need to deposit $5,000 or have equity equal to $5,000 in your account.

Buying securities on margin allows you to acquire more shares than you could on a cash-only basis. If the stock price goes up, your earnings are potentially amplified because you hold more shares. Conversely, if the stock moves against you, you could potentially lose more than your initial investment.

How do I view margin information? Margin debit interest information is located on the Balances page in the upper right-hand corner blue box titled Margin Details.

The initial margin requirement is currently 50% of the purchase price for most securities, and it is known as the Reg T or the Fed requirement, which is set by the Federal Reserve Board. In addition, Fidelity requires customers to have a minimum account equity of $2,000 when placing orders on margin.

Margin calls are due immediately and in some cases securities may be sold without notification to you. It's smart to leave a cash cushion in your account to help reduce the likelihood of a margin call. Regulations require that you maintain a minimum of 25% equity in your margin account at all times.

If you don't have a Fidelity account already, you can open and fund an account now. To add margin, you'll need to complete an online agreement and agree to the terms and conditions of using margin.

To open a margin account, your broker will have you sign a margin agreement. The margin agreement may be part of your general brokerage account opening agreement or may be a separate agreement.