Margin Requirements

This panel shows you the current margin requirements for your account, including:

• Initial Margin: The current initial margin in your account.
• Maintenance Margin: The current maintenance margin in your account. This is the value required to maintain your current positions.
• Available Funds: The amount of funds you have available for trading. For securities, this is equal to Equity with Loan Value – Initial Margin. For commodities, this Net Liquidiation Value – Initial Margin.
• Excess Liquidity: This is your margin cushion. For securities, this is equal to Equity with Loan Value – Maintenance Margin. For commodities, this Net Liquidiation Value – Maintenance Margin.
• Buying Power: The maximum dollar value of securities that you can buy without depositing additional equity. In a Cash account, Buying Power = Minimum (Equity with Loan Value, Previous Day Equity with Loan Value) – Initial Margin.
  In a Margin Account, Buying Power = Minimum (Equity with Loan Value, Previous Day Equity with Loan Value) – Initial Margin *4.
• SMA: SMA (Special Memo randum Account) is a line of credit created when the market value of securities in a Margin account increases in value and maintained for the purpose of applying Federal Regulation T initial margin requirements at the end of the trading day. If the SMA balance at the end of the trading day is negative, your account is subject to liquidation.