Margin refers to all kinds of deposits of margin nature and funds deposited in banks and other financial institutions for accounting treatment. This is also the self-provided funds that investors need to pay when financing to buy securities in the securities market. In addition, spot gold, foreign exchange and other financial markets also have margin deposits. Deposit also refers to the amount reserved by one or both parties to the contract and the third party to ensure the performance of the contract. Form of deposit: the deposit provided by the other party to ensure the fulfillment of its requirements.

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Legal basis:

People's Republic of China (PRC) Securities Law

Article 89 Deposit and its legal effect

The parties may agree that one party shall pay a deposit to the other party as a guarantee for the creditor's rights. After the debtor performs the debt, the deposit shall be used as the price or recovered. If the party paying the deposit fails to perform the agreed debt, it has no right to demand the return of the deposit; If the party receiving the deposit fails to perform the agreed debt, it shall return the deposit twice.

People's Republic of China (PRC) Securities Law

Article 90 the establishment of deposits

The deposit shall be agreed in writing. The parties shall stipulate the time limit for the payment of the deposit in the deposit contract. The deposit contract shall take effect from the date when the deposit is actually paid.

People's Republic of China (PRC) Securities Law

Article 91 the amount of the deposit

The amount of deposit shall be agreed by the parties, but it shall not exceed 20% of the subject matter of the main contract.