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The margin calls added up to almost $30 million, more than six times what Paramax had posted in initial collateral.
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Were there margin calls that MF deemed unreasonable?
The margin calls on those loans were sudden and unwelcome.
It said the margin calls "significantly exceeded" its available liquidity.
I recommend Margin Call.
As the credit market tightened, Sowood had to sell stocks to meet margin calls from skittish banks and add hundreds of millions in cash reserves.
When someone shouts "fire", their flight creates an "endogenous" risk of being trampled by falling prices, margin calls and vanishing capital a "negative externality" that adds to overall risk, says Lasse Heje Pedersen of New York University.This played out dramatically in 2008.
"That means that anyone who had in the last few months added leveraged long exposure could be getting margin calls".
Such margin calls were expected.
There would be no margin calls.
It had "substantial unpaid margin calls".
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