A margin call occurs when your account equity falls below a certain percentage of the required margin to maintain your open positions. This means that if you do not have enough funds in your account to cover your losses. If you fail to deposit additional funds, the broker may close out all of your positions to reduce the risk of further losses.

At Clarity, we have a margin call warning process to notify you via email when your equity falls to 100% of your margin and then again when your equity falls to 80% of your margin. If you receive a margin call, it means that your account equity has fallen to 100% of the margin, and you need to deposit additional funds to maintain your positions.

In addition, if your equity balance falls to 50% of your margin, you will be automatically stopped out. This means that all of your positions in the respective margin account will be closed out to prevent further losses.