Margin Risk Involves the Chance That Initial Margin Requirements Will

question 19

True/False

Margin risk involves the chance that initial margin requirements will be increased once an investor buys the futures contract.

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Definitions:

Informal Fallacy

A form of flawed logic where an argument feels emotionally or psychologically compelling yet fails to hold up under logical scrutiny.

Begs the Question

A logical fallacy where the argument's premise assumes the truth of the conclusion, instead of supporting it.

Popular Appeal

An appeal to popular opinion to gain support for our conclusion.

Famous Person

An individual who has gained widespread recognition and public attention.