Series 24: 3.7.4. Combined Positions In Margin Accounts

Taken from our Series 24 Online Guide

3.7.4. Combined Positions in Margin Accounts

A combined account is an account that contains both long and short positions. To calculate the combined equity within the account, calculate the equity of both the long and short positions and add them together.

Example: John Robert’s account contains the following:

LMV = $65,000

SMV = $20,000

debit balance = $40,000

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