Both purchasers and sellers of futures contracts are subject to margin requirements, which determine both the initial deposit and the maintenance level. Not only that, financial futures have a special pay-as-you-lose system. At the end of each trading day, the value of a futures contract is determined and the party suffering the loss pays that loss to the gainer. (This is called marking to market.) Thus, whether a buyer or a seller of a financial futures contract, you must pay all losses as they accrue. Unless a trader closes out his futures position, he would be required, in the event of an
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