markets · beginner

Mark-to-market

Mark-to-market is the daily revaluation of positions to current market prices with resulting cash flows.

Futures MTM settles daily so gains and losses are crystallised each session.

Cash-market margin frameworks also use MTM concepts for valuation losses.

Large adverse MTM can trigger margin calls or forced square-off.

Contract notes show MTM lines for F&O clients at Indian brokers.

Part of the Market Pulse Term of the Day series — factual market vocabulary, not investment advice.