1. The price of the three-times leveraged Bull SP&500 ETF (tic:SPXL) is $44. The initial margin is...
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Question:
1. The price of the three-times leveraged Bull SP&500 ETF (tic:SPXL) is $44. The initial margin is 69%. The maintenance margin is 47%. The amount of debt in the position (i.e., broker loan) is 0. What is the price that triggers a margin call in this LONG position?
2. You entered a LONG position on TESLA (tic: TSLA) by buying 6 shares. The initial margin is 60% and the maintenance margin in 36%. You borrowed 4,535 from the broker when you opened the position and had 16,839 in cash. What is the?(dollar)?value of equity in your position if the price of TSLA is 788?
Related Book For
Statistics for Business and Economics
ISBN: 978-0132930192
8th edition
Authors: Paul Newbold, William Carlson, Betty Thorne
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