Margin & Combined Equity

Margin equity represents the investor’s actual ownership value in a margin account and plays a critical role in determining buying power and maintenance requirements. This video walks through how equity is calculated and applied in both long and short margin scenarios.

You’ll learn:

  • The definition of equity in long vs. short margin accounts

  • How to calculate equity in margin accounts

  • How equity is affected by market movements and debit/credit balances

  • Common pitfalls to avoid when answering equity-related questions

📘 Related Exams: SIE, Series 7, Series 9, Series 65, Series 66
🧠 Skill Level: Intermediate to Advanced
📈 Topics Covered: Combined equity formula, margin account analysis, long vs. short positions, exam-based scenarios

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