If you get a margin call you should liquidate positions or deposit funds or securities immediately to avoid possible liquidation of assets. There are a couple ways to fund your account:
1. Select one of the methods of deposits available:
2. Transfer funds from your Passfolio Financial crypto wallet to your stock account at Passfolio Securities, which takes up to 1 business day.
To purchase securities using cryptocurrencies, you must first convert it into U.S. Dollars using Passfolio Financial LLC. You must then move the U.S. Dollar proceeds to your brokerage account at Passfolio Securities LLC where you can use it to buy securities.
There are two types of margin maintenance:
- House Maintenance Call (35% of LMV*) - generally 4 days to pay
- Exchange (NYSE) Call (25% of LMV) - satisfy immediately ASAP
*Long market value (LMV) is the current market value of the securities purchased in a margin account. The LMV can, and will likely vary; it can change when your assets increase or decrease in value.
When a customer purchases securities on margin, the margin call (the amount the customer has to come up with) is based on the LMV of the securities.
Please note that the Interest Margin Rate can change without notice given market conditions.