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Trading on Margin

What should I do if my 'Available to Trade' is in deficit while trading on margin?

Answer

Your Available to Trade amount is the sum of your Cash Account, cash held in other currencies, and your available margin. If this value becomes negative, you have exceeded your available margin from DEGIRO. If this amount exceeds 100 EUR, you will receive a margin call.

In this case, please either close an open position(s) or make a deposit to your DEGIRO account to cover the deficit.

If the deficit results in a Margin Call from DEGIRO, our Risk department will contact you giving you a deadline to clear the deficit.

Please take into account that market movements can increase/decrease your deficit before the deadline is reached.

Additionally, when making a deposit, please keep in mind that it can take up to 3 working days for us to receive and allocate your deposit. If you do not think that your funds will reach your DEGIRO account before your deadline, please send a Proof of Payment to our Risk Department at risk@degiro.nl.

Your Proof of Payment should contain all the following details in one document:

  • Your bank details
  • DEGIRO's bank details
  • Payment amount
  • Payment date

Please be aware that if we do not receive this Proof of Payment before the deadline set for your margin call, the Risk Department will start closing some of your positions. DEGIRO will apply charges to close these positions.

Once the Proof of Payment is received by our Risk Department and you have received a confirmation from DEGIRO that your proof has been accepted, your margin call will be resolved.

More information regarding our margin system and the deficit procedure can be found in Security Value, Risk Debit Money and Debit Securities document and in the Investment Portfolio Risk Handbook. These documents along with the Client Agreement are available at our Helpcentre.

 

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