Clients must deposit a margin when conducting futures and options trades, and the amount of this margin is subject to adjustment based on market fluctuations or other factors. Margin requirement can be categorized into initial margin and maintenance margin.
When Clients hold a combination of futures and/or options, the margin amount will be calculated based on the Standard Portfolio Analysis of Risk (SPAN Margin) used by the relevant exchanges. Closing such combined positions may result in an increase in margin requirements, which could possibly hinder or delay Clients from executing close-out orders promptly.
To avoid the risks associated with insufficient margin that prevent timely position closing, Clients need to: - Prepare to close positions in advance when the margin level is adequate. - Regularly check the account's margin status and levels. - Pay special attention to margin changes during times of significant market volatility.
If you have any questions, please contact us. |