Stock Function

Margin trading is where investors use funds or securities in their account as collateral to borrow more funds from brokers for securities purchases. Short selling is where investors borrow securities from brokers to sell, then buy the same quantity to return to the broker.

Click the yellow Margin icon on the stock chart page, and the system will pop up a prompt box explaining whether the stock supports margin trading or short selling, as well as related margin ratios and reference rates.

On the stock trading page, select margin or short selling. Exceeding the cash available for purchase initiates margin trading, and selecting sell without long positions initiates short selling.

You can check margin and short selling interest rates on both App and Web. The margin rate can be viewed by clicking the Check Interest Rate button on the trading page, and the short selling rate can be viewed by clicking the Margin icon on the stock chart page.

Margin trading and short selling interest is calculated daily and settled at 23:00 (US time for US stocks, HK time for HK stocks). Interest accumulates in the stock account and is automatically deducted when closing positions or transferring funds.

Margin interest = margin amount * margin rate / 360; Short selling interest = (stock closing price * 102% * short positions * short selling rate) / 360. Interest is calculated daily and settled at 23:00 market time.

The maximum amount you can borrow for margin trading depends on the initial margin rate of the stock and your account assets. The maximum number of stocks you can buy is shown when placing an order, and the short sellable quantity is displayed when selling.

Click the Margin icon on the stock chart page to view margin ratios and reference rates. Includes detailed explanations of initial margin for long/short positions, maintenance margin, short interest rate, and short sale pool remaining.

Margin trading can expand investment returns by mortgaging stocks to borrow funds to purchase more shares. Short selling involves borrowing stocks to sell, then buying back at lower prices for profit.

Short selling involves various risks: asymmetry between risk and return, time cost, interest rate risk, recall and forced liquidation, corporate actions, delisting and suspension, etc. Investors need to fully understand these risks.