Collateral Arrangement Table, Collateral Call, and Forced Buyback by Account Type:
Cash Account and Cash Balance Account
Collateral Type | Initial Margin | Maintenance Margin | Force Close Margin |
Approved Securities | 150% | 140% | 130% |
Before conducting securities borrowing through a Cash Account or Cash Balance Account, customers are required to deposit cash as collateral with the company, amounting to 50% of the value of the securities to be borrowed.
Upon completing the short sale transaction, the company will use 100% of the short sale proceeds as collateral to bring the total initial margin to 150% of the value of the borrowed securities within 2 days (T+2).
Credit Balance Account
Collateral Type | Initial Margin | Maintenance Margin | Force Close Margin |
As determined by Pi | As determined | As determined | As determined |
Before conducting securities borrowing through a Credit Balance Account, customers are required to maintain collateral with the company as determined by Pi.
Note: The specific collateral arrangements, initial margin, maintenance margin, and force close margin for each account type will be defined by Pi and communicated to the respective clients in the agreement for the SBL service.