Initial margin http://www.financial-spread-betting.com/Initial-Variation-margin.html Financial spread betting is a margined product. Betting on margin is when you utilise some of the spread betting providers's money to place a spreadbet. Margin Requirement denotes the deposit required in respect of each open bet on your account. When you place a spreadbet you must have sufficient funds to cover the Margin Requirement applicable to that trade. Margin is the equivalent of a 'good faith' deposit. It's a small percentage, usually between 2% and 30%, of the value of the contract that is deposited with a provider and is required to open a position.