Same-Day Substitution

Dictionary Says

Definition of 'Same-Day Substitution'

An offsetting change in a margin account, made over the trading day, that results in no overall change in the value of the account. When a same-day substitution is made, a margin call is not generated.
Investopedia Says

Investopedia explains 'Same-Day Substitution'

A same-day substitution happens when a rise in the market value of one margin security is offset by an equal decline in another.

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Initial Margin

    The percentage ...
  2. Leverage

    1. The use of ...
  3. Maintenance Margin

    The minimum ...
  4. Margin

    1. Borrowed ...
  5. Margin Call

    A broker's ...
  6. Margin Account

    A brokerage ...
  7. Minimum Margin

    The initial ...
  8. Offset

    1. To liquidate ...
  9. Market Value

    1. The current ...
  10. Unlevered Beta

    A type of metric ...

Articles Of Interest

  1. Margin Trading

    Find out what margin is, how margin calls work, the advantages of leverage and why using margin can be risky.
  2. What is a margin account?

  3. Reinvesting Capital Gains In Leveraged Portfolios

    Don't get forced into action. Learn how to plan properly to avoid making rash decisions.
  4. Covered Call Strategies For A Falling Market

    Find out how to come out on top, even when the market is dropping.
  5. Leveraged Investment Showdown

    Margin loans, futures and ETF options can all mean better returns, but which one should you pick?
  6. Picking Your First Broker

    If you're a rookie investor, your first big investment decision should be an informed one.
  7. Take On Risk With A Margin of Safety

    More common risk theories can lead to missed opportunities. Find out how margin of safety can propel your portfolio.
  8. Hedge Fund Failures Illuminate Leverage Pitfalls

    Learn what mistakes cause hedge funds to collapse and how to avoid similar problems.
  9. Why Leveraged Investments Sink

    This powerful tool can have you swimming in money or drowning in underwater equity.
  10. Hedge Against Exchange Rate Risk With Currency ETFs

    Currency moves are unpredictable and can have an adverse effect on portfolio returns. Find out how to protect yourself.

comments powered by Disqus
Recommended
Loading, please wait...
Trading Center