Margin Financing
ABCI Securities provides margin financing services which allows clients to take leveraged investment strategy to achieve higher rate of return (profit/loss both increased). For more details, please refer to your Account Executive (AE) or Sales Department.
1.Margin Details
Marginable Securities |
Designated securities listed in HKEX
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Margin Ratio |
10% - 70% of the market value of designated securities
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Marginable Value |
Market Value of stock x Margin Ratio
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Margin Limit |
The maximum limit that clients can borrow for margin trading
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Lending Rates |
Annual interest rate is general bank prime rate (P) + 3%
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2.Margin Call and Margin Top Up
Margin Call |
When clients accounts ‘debit balance exceed their marginable value or margin limit, margin call will be issued
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Margin call amount |
Margin Loan – (Marginable Value or Margin Limit)
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Margin Top Up |
Once a margin call is received, clients should either:
- deposit additional cash equivalent to margin call amount or
- sell securities or
- deposit additional marginable securities as listed in stock margin list
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