Stock Trading
Margin Account

Financing Arrangements

Marginable SecuritiesDesignated securities listed in HKEX. For details, please check the Stock Margin List or click the following link:Stock Margin List
Margin Ratio10% - 70% of the market value of designated securities *
Marginable ValueMarginable Value = Market Value of stock holding x Margin Ratio
Margin LimitMargin Limit is the maximum limit that clients can borrow for margin trading. Upon clients’ request, we will reassess their margin limit based on the following criteria: trading volume, types of collaterals and settlement records
Lending RatesOverdue amount within the marginable value (Chong Hing Bank Prime Rate + 4%)
Overdue amount beyond the marginable value (Chong Hing Bank Prime Rate + 7%)
* Stock margin list is subjected to change from time to time without prior notice

Margin Call and Margin Top Up

Margin CallWhen clients accounts’ debt balance exceed their marginable value or margin limit**, margin call will be issued
Forms of NotificationMargin call will be issued by our company via phone or email
Margin Call AmountMargin Loan minus (Marginable Value or Margin Limit) **
Margin Top UpOnce a margin call is received, clients should either:
1. deposit additional cash equivalent to margin call amount; or
2. sell securities; or
3. deposit additional marginable securities as listed in Stock Margin List
Deadline for margin top upWithin one business day after margin call is received
Forced LiquidationIf clients fail to meet margin call within prescribed deadline, their account may be liquidated without your consent
** Whichever is lower

Other terms and conditions:

  • New margin account clients are required to make initial margin deposit before they commence securities trading.
  • Clients can only withdraw their fund provided that their accounts have credit balance. Thus, clients are not allowed to withdraw any fund or securities even they have excess margin limit.
  • Once clients have already received margin call, they not allowed to further purchase any securities in the same trade day until they make payment for margin top up.
  • Our company will not accept any suspended securities, GEM securities, derivative warrants or CBBCs as collaterals.

Risk Disclosure:

Margin trading in securities involves significant risk and losses may exceed the value of your collateral. Regarding to the credit facilities provided by our company for margin account clients, we may repledge margin clients’ securities collateral to authorized financial institutions for financial accommodation / margin financing