Securities Account （HK Market）

1.Cash and Stock Balance?

• Can I withdraw the cash or stock in my updated balance?
No, you can only withdraw the amount of cash or stock from the available balance, which is the actual amount that is in your account after T+2 settlement.

• When can the cheque balance be used?
For cheque balance can be used only when the cheque is cleared, i.e. usually after 4:00p.m. of the next trading day after the cheque is deposited.

• How much interest do I have for the fund I hold in my securities trading account?
You may receive interest if your deposit is over HK$50,000. The interest rate is the same as HSBC's saving rate.

• Cash and Stock Balance - Glossary
Updated cash balance
The net cash balance that is calculated based on your cash deposit and up-to-date executed transactions at day T.

Available cash balance
The net cash balance that is calculated based on your cash deposit and the transactions that are settled on day T+2.

Interest
The up-to-date interest that you are entitled to receive by end of current month.

Cheque
The balance that you deposited by cheque and pended for clearing. Once the cheque is cleared, the balance will be added to your available balance.

Updated stock balance
The net stock balance that is calculated based on your stock deposit and up to date executed transactions at day T.

Held stock balance
Upon sending an sell order / stock withdrawal notice, the amount of stock will be held from the updated stock balance in order to make sure no short selling of stock is allowed.
Withdraw balance
Upon sending the fund withdrawal or transfer instruction through their trading platform, the fund will be displayed in "Withdraw balance" and deducted from "Updated cash balance" and "Available cash balance" immediately. If client submit the fund withdrawal or transfer by the other means, it will not be shown in the trading platform.

2.Trading Limit and Settlement?

• How can the trading limit and deposit ratio provide me flexibility on investment? In order to provide you higher flexibility, a trading limit will be granted to you. This limit is counted based on your cash balance and the value of your stock holdings calculated according to their individual stock value ratio. Also, only a deposit will be deducted on the transaction date for certain stocks. Please refer to this list for stock value ratio and deposit ratio. • Trading Limit and Settlement - Glossary Trading limit The trading limited for you to buy stocks, which is counted based on your cash balance and the value of your stock holdings calculated according to their individual stock value ratio. Deposit held The amount deducted from the trading limit upon buying of stocks. Call deposit Call Deposit is the amount that you need to settle within one working day (24 hours) upon the issue of ''Deposit Call''. All or part of your stocks may be forced to sell out if the amount is not deposited. T+1 Settle The net amount of cash to be settled on day T+1. T+2 Settle The net amount of cash to be settled on day T+2. Today deposit The cash amount to be deposited today in order to settle the transaction executed two trading days before.

3. Margin Ratio ?

• How can margin financing enhance my flexibility on investment?
Upon opening a margin account, you are eligible to use your stocks as collateral by paying interest in order to obtain higher trading limit. The value of stocks is calculated according to the margin ratio set under our risk and credit control policy.
• Which stocks are available for margin financing?
Please see this list for reference.