Initial Margin/Account Maintenance Requirements Sample Clauses

Initial Margin/Account Maintenance Requirements. The Federal Reserve Board and various self-regulatory organizations require that the maximum amount currently available to you is 50% of the value of marginable securities purchased or held in your account (“initial margin”). The maximum loan available for debt securities varies with the type of security. Your minimum account equity must be $2,000.00, or other amount as may be required by applicable rules, regulations, or SFI house policies. Initial margin and margin maintenance requirements may change without notice. Equity securities with a market value of less than $5.00 per share are not marginable. A margin call (notification to deposit additional collateral) may be issued if your account equity drops below the margin maintenance requirement. Normally, additional collateral will be required if your account equity declines below 30% depending upon such factors as SFI, in its sole discretion, may deem material, including but not limited to the type, price, quantities and marketability of securities, or combination thereof, held in your account. If the market value of a security falls below $3.00 per share, the security will not be assigned a value as collateral to secure your margin obligations.