Judicial Law Views Quarterly (Law Views)

Derivative market including futures and options is Innovation of IRI’ exchange Securities  Act 2005. One of the distinguishing characteristic of the market is the guarantee of clients’ obligations through margin account system. Investors, while entering in to the market, shall have to deposit a sum called margin account in order to guarantee their liabilities and shall have to adjust the sum depending on market fluctuations and rise and fall of c contract value. The characteristics of the sum and it's types and variability has make it an exclusive nature.
 This article, while defining the concept, types and the function of the margin account, shall compare it with similar legal institutions such as deposit, borrow, lump sum, mortgage and security and shall conclude that the margin account, despite of some similarities with many of mentioned institution, mostly resembles security.