Equity

Ownership interest in a corporation in the form of preferred stock or common stock. Equity also refers to total assets minus total liabilities, in which case it is also referred to as shareholder's equity. In the context of a brokerage account, it is the net value of the account (the value of securities in the account less any margin requirements). In the context of a futures trading account, it is the value of the securities in the account, assuming that the account is liquidated at the going price.