The world's local bank
Margin Trading
Enhance your Buying Power
Securities Margin Trading Service offers additional funds of up to 60% of the total value of the stocks you want to buy. Now, even if you have cash tied up elsewhere, there's no reason why investment opportunities should pass you by.
Multi-channels for convenient trading
You can trade securities or get real-time stock price and market information via HSBC Internet Banking, automated or manned* phonebanking services, or at any designated HSBC branch* or HSBC Premier Centre*
*Exclusive to HSBC Premier customers
| Eligible stocks *: | Selected Hong Kong listed stocks and Tracker Fund of Hong Kong |
| Stock margin ratio *: | 30-60% of the eligible stock value |
| Portfolio margin ratio: | Total loan amount / Total eligible stock lending value+ (You can borrow up to a Portfolio Margin Ratio of 100%) |
| Maintenance buffer: | Portfolio margin ratio of 100% to less than 120% |
Margin call/Force-sale:
| Portfolio margin ratio | Action |
|---|---|
| 105%-less than 120% | Margin call alert through SMS to remind you to cover the excess |
| 120% or above | Stocks will be force-sold when portfolio margin ratio reaches 120% or above. Force-sale alert through SMS to inform you about the force-sale status of the stock. |
Click here for an illustration
* Selected eligible stock list, stock margin ratio and the portfolio margin ratio are subject to change at the Bank's discretion. The predetermined maximum loan amount is HKD5,000,000 for both HSBC Premier, HSBC Advance and SmartVantage customers.
+ Eligible stock lending limit = eligible stock value x stock margin ratio
Securities Margin Trading Service charges*
| Service | Fee |
|---|---|
| Interest rate ^ |
P** + 1.5% per annum*** for HSBC Premier customers
P** + 2.25% per annum*** for HSBC Advance and SmartVantage customers |
| Safe custody fee | HK$25 monthly**** |
Notes:
* For other securities transaction charges, please refer to the Securities leaflet.
** 'P' refers to the Bank's best lending rate.
*** Interest will be accrued daily and debited on the 28th of each month or the preceding business day if the 28th day is Bank holiday.
**** The fee is due and payable on or before the 20th of the following month and is applicable to zero holdings accounts and upon closure of accounts where the account is closed before the above payment dates (for local securities only). Effective 1 Aug 2010, the monthly safe custody fee for Securities Margin Trading accounts will only be applied to customers who have securities transaction record(s) or securities holdings in the 1-month period on or before the 1st of the following month.
^ During the promotional period between 28 Jun - 31 Dec 2010 (both dates inclusive), you can enjoy a preferential interest rate for securities margin loan of 2.2% p.a. (or P-2.8% p.a. whichever is higher). Please click here for offer terms and conditions.
Disclaimer:
The Bank does not provide investment advice. Investment involves risk. The price of stocks may move up or down. Losses may be incurred as well as profits made as a result of buying and selling stocks.
