Moomoo Singapore Help Center-Where can I find the margins for margin trading and short selling, what is the meaning of each term
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Where can I find the margins for margin trading and short selling, what is the meaning of each term

Details of the margins for margin trading and short selling are available on the "Margin Trading" page.

1. Initial Margin

If you want to buy on margin a stock with a market value of $1 million, when the initial margin is 100%, you need $1 million to establish a position (at 1x leverage); when the initial margin is 80%, you only need $0.8 million, which means you borrow $0.2 million from moomoo SG (at 1.25x leverage).

If you want to short sell a stock with a market value of $1 million, when the initial margin is 100%, you need to ensure that you have $1 million in your account; when the initial margin is 80%, you only need $0.8 million, which means you use your own $0.8 million as collateral to borrow the stock with a market value of $1 million from moomoo SG.

2. Maintenance Margin

The maintenance margin is the minimum margin you must maintain in your account if you want to keep a certain stock. Maintenance Margin Amount = Market Value of Open Positions × Maintenance Margin.