• Tim Xiao deposited An Overview of Standard Initial Margin Mode in the group Group logo of Business ManagementBusiness Management on Humanities Commons 5 years, 1 month ago

    Initial Margin (IM) is the amount of collateral required to open a position with a broker or an exchange or a bank. The Standard Initial Margin Model (SIMM) is very likely to become the market standard. It is designed to provide a common methodology for calculating initial margin for uncleared OTC derivatives. Initial margin calculation is counterparty-portfolio-based. Given this standardized approach, counterparties can easily reconcile the results.