Other Non-Equity Securities
For long or short positions in investment grade debt securities, the margin to be maintained is 10% of their current market value. For non-investment grade debt securities the maintenance margin must be 20% of their current market value or 7% of the principal amount, whichever is greater.
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Maintenance Margin Requirement for Selected Securities |
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Type of Security |
Maintenance Requirement |
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Long |
Short |
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Equity securities |
25% |
30% |
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Convertible bonds |
25% |
30% |
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Investment grade corporate bonds |
10% of market value |
10% of market value |
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Non-investment grade debt securities |
Greater of 20% of market value or 7% of face value |
Greater of 20% of market value or 7% of face value |
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Treasury bonds |
1–6 % of market value, depending on years to maturity (on net long) |
1–6 % of market value, depending on years to maturity (on net short) |
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Municipal bonds |
7% of current market value |
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