17 CFR § 23.700 - Definitions.

---
identifier: "/us/cfr/t17/s23.700"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "17 CFR § 23.700 - Definitions."
title_number: 17
title_name: "Commodity and Securities Exchanges"
section_number: "23.700"
section_name: "Definitions."
chapter_name: "COMMODITY FUTURES TRADING COMMISSION"
part_number: "23"
part_name: "SWAP DEALERS AND MAJOR SWAP PARTICIPANTS"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "7 U.S.C. 1a, 2, 6, 6a, 6b, 6b-1, 6c, 6p, 6r, 6s, 6t, 9, 9a, 12, 12a, 13b, 13c, 16a, 18, 19, 21."
regulatory_source: "77 FR 2628, Jan. 19, 2012, unless otherwise noted."
cfr_part: "23"
---


# 23.700 Definitions.

As used in this subpart:

*Initial Margin* means money, securities, or property posted by a party to a swap as performance bond to cover potential future exposures arising from changes in the market value of the position.

*Segregate* means to keep two or more items in separate accounts, and to avoid combining them in the same transfer between two accounts.

*Variation Margin* means a payment made by or collateral posted by a party to a swap to cover the current exposure arising from changes in the market value of the position since the trade was executed or the previous time the position was marked to market.