margin

object

Object of margin calculations

margin.marginRequirement

number

Options:

• 0.5 (2:1 leverage)
• 1 (1:1 leverage)

margin.longMarketValue

number

Long market value - real-time $ value of current holdings

margin.debitBalance

number

Real-time $ value of debt; positive $ is a debit balance, negative $ is a credit balance

margin.equity

number

Real-time $ value of equity; calculated as longMarketValue – debitBalance

margin.equityFraction

number

Equity as a fraction of long market value; calculated as equity ÷ longMarketValue

margin.equityRequired

number

Minimum equity required to stay above a HOUSE margin call. If the account is in a margin call (HOUSE or EXCHANGE) this field will not appear here, but instead appear in the marginCall object

margin.restricted

boolean

Account becomes restricted (set to true) if equity is less than 50% of long market value (this is essentially a warning, at 35% the account will be in HOUSE margin call)

margin.daySMA

number

Current SMA using traditional calculations – Start with beginning of day SMA and update with deposits and withdrawals as well as stock buys and sells during the day. Deposits increase and withdrawals decrease SMA dollar for dollar. Buys increase and sells decrease SMA by 50% of trade $ value

margin.rtExcessEquity

number

Equity in excess of equityRequired calculated in real time (more is good)

margin.effectiveSMA

number

The lower of margin.daySMA and margin.rtExcessEquity. This is risk protection for the customer as well as DriveWealth. Using only margin.daySMA for lending on margin has the disadvantage that the SMA can become inflated if the market drops from start of day. If customers were to use their entire daySMA to buy stock on a day when the market drops, they are immediately placed into a HOUSE CALL. The margin.rtExcessEquity prevents that from happening by lending them only a (reduced) amount that would place them above a HOUSE margin call. That is the risk protection provided to both parties

margin.noBuyingPowerReason

string

Reason indicating why the user has no buying power:

• MIN_MARGIN_EQUITY_NOT_MET - margin.equity is less than $2,000 and margin.debitBalance is greater than $0
• EFFECTIVE_SMA_ZERO - SMA is $0
• HOUSE_CALL - margin.equityfFaction is less than 35% (required house equity)
• EXCHANGE_CALL - margin.equityfFaction is less than 25% (required exchange equity)
• RESTING_ORDERS_WILL_TRIGGER_HOUSE_MARGIN_CALL - Market dropped after resting orders were placed, and will trigger house call if filled

margin.marginCall

object

Object of margin call calculations. Will only appear if noBuyingPowerReason is equal to MIN_MARGIN_EQUITY_NOT_MET or HOUSE_CALL or EXCHANGE_CALL

margin.marginCall.marginCallType

string

Options:

• "EQUITY"
• "HOUSE"
• "EXCHANGE"

margin.marginCall.marginCallTriggerType

string

Options:

• "ACCT_MAINT"

margin.marginCall.equityRequired

number

Minimum required equity to bring the account above a house margin call

margin.marginCall.callAmount

number

Minimum $ amount to be deposited in the account to bring the account above a house margin or equity call

margin. restingOrders

numbers

Total $ value committed in resting orders that reduces the effectiveSMA