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What Is the Term for the Collateral an Option Writer Must Post?

The collateral an option writer must post is generally referred to as 'margin.' This margin is a good-faith deposit required by the exchange or broker to ensure the writer can fulfill their obligation if the option is exercised or assigned. The amount of margin required fluctuates based on the risk profile of the option position.

What Is the Difference between Expiration and Assignment?
What Is the Procedure for a Broker Handling an Assignment Notice?
What Is the Concept of “Assignment” for an Options Seller?
What Is ‘Assignment Risk’ for an Option Writer?