Domestic Institutional Clients
When trading at KIS Vietnam Securities Corporation, clients may receive advance proceeds from securities sales immediately after the order is matched, with a simple, fast process and preferential interest rates.
Conditions of use:
Clients must have a standard securities trading account at KIS.
Clients who wish to use the service must sign a margin trading agreement using KIS’s standard form to open a margin trading account at KIS.
Clients may deposit margin in cash or securities in accordance with the legal regulations on margin trading.
Loan term and interest rate regulations:
Maximum loan term: 90 days.
Possible extension of maximum loan term: 90 days.
About Margin Call
At the beginning of each trading day, based on the client’s current margin ratio, if it falls below the safety threshold set by KIS, KIS will notify the client and request additional collateral to bring the margin ratio back to a safe level.
Applicable ratios
| No. | Ratio | Standard | Updated Information |
|---|---|---|---|
| 1 | Current Margin Ratio (CMR) | This is the ratio between the actual equity and the total assets in the margin trading account (real-time basis). | - |
| 2 | Initial Margin Ratio (IMR) | 50% | CMR ≥ IMR: The client’s account is in a safe state CMR < IMR: The account enters a warning state |
| 3 | Maintenance Margin Ratio (MMR) | Group 1: 40% Group 2: 30% |
When CMR falls below MMR, the client’s account enters a margin call status. If CMR is not restored after this period, KIS may proceed with forced liquidation of assets. |