Your Margin account at Passfolio typically has a leverage of 50% for securities where the price is greater than $5.00. In other words, you put up half of the required amount and we lend the other half. For example, if you have US$5,000 in your account, distributed between cash and securities, you can borrow another US$5,000 (Margin Available). Therefore, your Buying Power is US$10,000
On the other hand, if a security is priced below $5.00, you are required to put up 100% of the equity. (Example: If you buy 1,000 shares of stock ABC at $2.00, you are required to put up $2,000).
It's important to remember, though, that Margin is only available once you have at least US$2,000 in equity in your account.
In the Portfolio screen of your app, you can see how much Margin you have Available and also how much you have Used.
Margin Available – It's the margin you have available based on the minimum of your total Margin. In the example above, your Margin Available is US$5,000.
Margin Used – It's the amount of Margin you are using. If from the US$5,000 you have available you used US$1,000, you will see US$1,000 of Margin Used.
Please note that the Interest Margin Rate can change without notice given market conditions.