12 December 2025
1. INTRODUCTION
Tiger Brokers (AU) Pty Limited, TBAU, may, in its discretion and upon your request, permit you to open a Margin Account governed by this Margin Lending and Short selling Terms and Conditions, “the Margin T&Cs or the Terms“ hereunder.
These Terms and Conditions supplement the Product Disclosure Statement (PDS) dated [insert] for Standard Margin Lending Facility. To the extent of any inconsistency, the PDS prevails.
2. DEFINITIONS
For the purposes of this margin T&Cs:
Approved Loan Limit means your final approved loan limit based on your financial capacity and source of funding.
Approved Securities List means the list of Marginable products published by TBAU via the Tiger Trade Platform at [insert description of how users can access this list].
Available Excess Equity means your Equity with Loan Value (ELV) minus Initial Margin (IM).
Collateral: Assets, including cash, securities, or other approved property, provided or pledged by a client to secure their obligations under margin lending, trading, or financing arrangements.
Double gearing: The practice of using a loan to finance the acquisition of property or securities that are then pledged by the client as collateral to establish a margin lending facility.
Equity with Loan Value means the total value of all cash and securities held with TBAU, less any current outstanding loan balance.
Equivalent Securities means, in respect of any securities, securities of an identical type, nominal value, description and amount to those securities and which are part of the same issue and have the same rights as those securities; provided that where any securities have been converted, subdivided, consolidated, redeemed, made the subject of a takeover, merger, capitalisation issue, rights issue or event similar to any of the foregoing, TBAU may reasonably determine what securities or other assets (which may include money or other property) are to be treated as "equivalent" for this purpose and "Equivalent Securities" shall be construed accordingly.
Initial Margin means the amount of money that you must contribute towards a purchase of securities.
Maintenance Margin means the amount of money that you must maintain in your Account.
Margin means the amount of money you borrow according to these terms.
Margin Call occurs when your account value is close to the maintenance margin requirement..
Margin Lending / Margin Trading: margin lending and margin trading are used interchangeably herein, which allows you to use your existing portfolio as collateral to invest in shares and ETFs using borrowed funds.
Marginable product means the financial product approved by TBAU for margin trading
Retail client: A person or entity who does not meet the criteria of a wholesale client under the section 761G or 708 of the Corporations Act.
Standard margin lending facility is a loan facility that TBAU may make available to clients under the Margin T&Cs in conjunction with a margin account.
Securities collateral refers to stocks, bonds, or other market-traded instruments that are pledged or held to secure a margin loan.
Secured obligations mean all present and future liabilities, indebtedness, and obligations of a client to the provider, whether actual or contingent, which are secured by the client’s assets or collateral under any margin lending, trading, or financing arrangement.
Short selling means short selling is the practice of selling a security you do not own, with the intention of buying it back later at a lower price to profit from a decline in its value.
Short selling on a covered basis is a short selling transaction when the sellers rely on an existing securities lending arrangement that gives them a presently exercisable and unconditional right to deliver the securities to the buyer at the time of sale.
Wholesale client: A person or entity who meets the criteria of a wholesale client under the section 761G or 708 of the Corporations Act.
3. REPRESENTATIONS, WARRANTIES, AND ACKNOWLEDGEMENTS
By entering into the Margin T&Cs and each time you request a margin loan or engage in the financial services covered herein, you represent, warrant, and acknowledge that:
- You have full authority to enter into and perform your obligations under the Margin T&Cs.
- Your engagement under the Margin T&Cs do not and will not breach any applicable law or any obligation to a third party.
- You were not and are not subject to any event of default.
- If you act as a trustee, you further represent and warrant that:
Any trust deed record or copy provided to TBAU accurately reflects all terms of the trust and will not be amended without TBAU’s prior consent.
The trust deed authorises you, as trustee, to enter into the Margin T&Cs and engage in the financial services covered herein. Such activities are permitted under the trust deed and are consistent with the trust’s investment strategy.
The trust is validly constituted, has not been terminated, and you will not vacate your role as trustee or terminate the trust without TBAU’s prior consent.
TBAU’s rights under the Margin T&Cs take priority over the interests of the trust’s beneficiaries.
- The assets deposited in your account to act as collateral for the margin loan are not borrowed or sourced from double gearing, such as using cash advanced from a credit card or personal loan. They are totally unencumbered by any mortgage, lien or other interest.
- Any margin loan will only be used to invest in marginable products offered by TBAU.
- Margin lending, short selling, and derivatives trading in a margin account involve high risks, with certain trades or strategies potentially resulting in significant losses that may exceed the margin requirement or the balance initially deposited. These risk profiles are consistent with your risk tolerance and financial capacity, and you are able to bear any potential losses arising from trading in line with your financial situation.
- You possess the necessary financial resources, including liquid assets and regular income, to manage and meet the financial and margin obligations that may arise from your trades, including, but not limited to, margin requirements, margin calls, and losses due to margin deficits, without experiencing financial hardship, material financial difficulty, reliance on government assistance (such as pensions or job-seeker benefits), or double gearing (such as cash advanced from a credit card or personal loans).
- You have the capacity to actively monitor your positions, manage margin requirements, and take timely action to meet obligations and mitigate losses.
- You have read and understand, the Standard Margin Lending Facility PDS, the Risk Disclosure Statement – Short Selling, the Margin T&Cs, and all other relevant disclosures, including FAQs. If you are a non-natural person, you should also read and understand the target market determination- margin lending facilities to non-natural persons only.
- You understand and acknowledge that TBAU is authorised, at its sole discretion, to convert any available cash balance in any currency held in your margin account into the currency of any outstanding margin loan for the purpose of repaying the loan and reducing interest payable. I have read and understand the relevant terms and conditions governing such conversions.
- You acknowledge and agree that TBAU may disclose your personal information to 3rd party credit reporting agencies for the purpose of assessing your creditworthiness. You understand your personal information disclosed will be subject to agencies’ privacy policies.
- All information provided to TBAU in connection with the Margin T&Cs and the financial services covered herein is accurate, complete, and not misleading. You must immediately notify TBAU if any representation, warranty, condition, and information provided ceases to be true.
4. MARGIN ACCOUNT, MARGIN LENDING FACILITY AND MARGIN LOAN
A standard margin lending facility and associated margin loan are available to clients who maintain a margin account with TBAU. The margin loan is only available where you are purchasing Marginable products for more than the available cash balance in your TBAU account.
A margin account permits trading in various financial products, including, but not limited to, shares, exchange-traded funds (ETFs), and exchange-traded options (ETOs). Not all products offered in the margin account are eligible for margin trading. Trades executed without the use of a margin loan, or in products ineligible for margin lending, may still be subject to the Margin T&Cs herein.
Clients may submit an application for a margin account and a requested loan limit for assessment.
The determination of approved margin loan limit considers you financial capacity and source of funding among other factors, and the final approved limit may be equal to or less than the amount requested. Before applying, you may wish to speak to an adviser to see if margin lending is suitable for you.
The amount you can borrow depends on your Available Excess Equity (AEE). Your AEE is calculated as Equity with Loan Value (ELV) minus Initial Margin (IM). For this purpose
· ELV equals the combined current market value of the securities and cash which you hold with TBAU, less any currently outstanding loan balance. ELV only includes the value of Marginable products on our Approved Securities List; and
· IM equals the sum of the initial margin required for each of your securities, calculated by multiplying the current value of each of your securities by the Initial Margin Percentage which TBAU has allocated to that security (IM%). The IM% effectively represents the "equity to value" ratio for that security. Other providers may quote loan to value ratios (LVRs). You can calculate the effective LVR based on the IM%, as follows:
IM% = 100% – LVR.
The total amount you can borrow at any time is the lesser of your AEE and your Approved Loan Limit. TBAU may amend eligibility for a TBAU margin loan or the requirements applying to the margin loan at any time.
TBAU relies on the information and documentation provided to complete the assessment and it is not liable for any loss, damage or harm suffered by you, arising from your use of the margin account and the margin lending facility, in the event of your fraud, during your application. There may be delays in processing applications or requested loans, and TBAU is not liable for any loss or opportunity cost resulting from price or value fluctuations of marginable products during such delays.
We may review your margin trading eligibility and Approved Loan Limit from time to time for any reason, including (without limitation) where we are required to do so by any applicable law. You must provide us with any documents or information we request for the purposes of carrying out any such review. We may decrease your Approved Loan Limit or impose restrictions on your margin facility following any review.
You may use the margin loan solely to acquire Marginable products on Tiger Trade Platform. TBAU may allow you to use it to repay another margin lending facility, insofar as the loan provided under that other margin lending facility was applied wholly to the purchase of the Marginable products, provided that you maintain sufficient assets in your margin account at all times.
5. COLLATERAL
Any margin loan on your margin account is secured by all assets of any kind held by or on behalf of TBAU for you.
For the avoidance of doubt, TBAU will not accept a guarantor arrangement as valid security or collateral for any debit balance on your Account.
You, as beneficial owner of the collateral, hereby charge in favour of TBAU in respect of all the secured obligations by way of first fixed charge all your right, title, benefits and interests in and to the collateral including any additional or substituted collateral and all dividends, interest paid or payable, rights, interests, money or other properties accruing or offering at any time by way of redemption, bonus, preference, options or otherwise on or in respect of the collateral as continuing security for the payment and discharge of the secured obligations. The charge is a continuing security notwithstanding any intermediate payment, settlement of the margin facility or satisfaction of whole or any part of secured obligations and notwithstanding any closure and subsequent opening of such margin facility.
TBAU is entitled to exercise any voting or other rights attached to the collateral where necessary to protect its interests. You must not exercise any rights in respect of the collateral in a manner that is inconsistent with the Margin T&Cs. TBAU may, at its sole discretion and without prior notice or consent, dispose of or otherwise deal with the collateral in order to satisfy any secured obligations, including but not limited to circumstances arising from a margin call or material market fluctuations, in accordance with the Margin T&Cs. Withdrawals of collateral are permitted only with TBAU’s prior consent and subject to satisfaction of applicable margin requirements.
Any securities collateral provided in connection with your Account may, at the absolute discretion of TBAU, be:
a. registered in your name, in the name of TBAU, in the name of an associated entity of TBAU, or otherwise in accordance with the laws of the jurisdiction in which such securities are held; or
b. deposited in safe custody in a segregated account designated as a trust or client account maintained by TBAU or an associated entity for the purpose of holding client securities collateral; or
c. deposited in an account in the name of TBAU or an associated entity with:
(i) in respect of securities held in Australia, an authorised deposit-taking institution, an approved custodian, or an intermediary licensed to deal in securities; and
(ii) in respect of securities held outside Australia, an institution duly authorised under applicable laws and regulations of the relevant jurisdiction to hold such securities (acknowledging that protections applicable to securities held outside Australia may differ from those applicable in Australia).
Without prejudice to any other rights or remedies available to TBAU, you grant to TBAU a standing authority to deal with any collateral from time to time received or held on your behalf, including (without limitation) authority to (subject to applicable law):
(a) apply any of the collateral pursuant to any securities borrowing and lending agreement between you and us;
(b) deposit any of Securities Collateral with an authorised financial institution as collateral for financial accommodation provided to TBAU; or
(c) deposit any of Securities Collateral with (i) a recognized clearing house; or (ii) another intermediary licensed or registered for dealing in securities, as collateral for the discharge and satisfaction of TBAU's settlement obligations and liabilities.
6. MARGIN REQUIREMENTS, MARGIN CALLS AND FORCED LIQUIDATION
Margin trading and short selling are subject to Initial Margin (IM) and Maintenance Margin (MM) requirements. TBAU may modify its margin requirements at any time in TBAU's sole discretion effective immediately.
Margin obligations are assessed on a holistic portfolio basis, meaning that TBAU calculates margin requirements across the entirety of a client’s account portfolio taking into account all positions, assets, and liabilities, rather than assessing margin obligations on an individual product basis. In other words, the IM and MM requirements applicable to your portfolio are calculated as the sum of the IM and MM requirements of each position held in the account. Clients should also be aware that the margin requirements associated with short selling and with certain exchange-traded option strategies will be included in the calculation of the total portfolio IM and MM obligations.
Margin call occurs when your account value is approaching to the maintenance margin requirement, specifically where your risk ratio (RR) exceeds 1.00. Your RR is calculated as Maintenance Margin (MM) divided by ELV. For this purpose, MM is the sum of the "maintenance margin" required for each of your securities, calculated by multiplying the current value of each of your securities by the maintenance margin percentage which TBAU has allocated to that security (MM%). As with IM%, the MM% effectively represents the "equity to value" ratio for that security. However, MM% will be lower than the IM%, to provide a buffer. MM% is used for ongoing margin call calculations, whereas IM% is used when calculating your AEE. This will provide a buffer between the amount you are able to borrow and the trigger for a margin call. As a result, a very small drop in value of your securities will not necessarily trigger a margin call.
RR increases as your ELV falls. An RR of less than 1.00 means your ELV exceeds your MM and you are not in margin call. An RR of 1.00 or more means your ELV is equal to or less than MM and you are in margin call and action is required immediately to prevent TBAU liquidating your collateral.
The margin call is not issued or communicated by a phone call . Instead, you will be notified through electronic alerts sent via email and/or through the Tiger Trade platform, warning that your account is in margin call. It is your responsibility to actively and continuously monitor your portfolio and dynamic margin requirements and maintain sufficient liquidity at all times to meet potential margin calls. Should you receive a margin call, you may consider transferring in additional funds or securities or sell some or all your investment(s) to reduce your loan balance at short notice. Failure to do so may result in the forced liquidation of positions. TBAU is not obliged to give clients an opportunity to transfer in additional funds or securities before initiating liquidation.
If a margin call occurs, we will notify you both via email and through the TBAU trading platform. You must be contactable at all times. Once a margin call occurs, TBAU may take steps to sell some or all of your collateral immediately. It may therefore not be possible for you to take any of the above steps prior to your collateral being sold.
We will also provide you with a RR warning if your account is approaching margin call. This warning will be provided by email and through the TBAU trading platform. While no action is required at this point and you are not in margin call, this indicates that your portfolio is in danger of reaching an RR of 1.00. This means you may wish to take action to prevent this occurring, including to avoid TBAU selling your collateral.
If at any time your account does not meet the margin requirements specified by TBAU, TBAU may, without limiting its other rights, sell, close out or otherwise liquidate all or part of your positions, potentially at unfavourable prices, in your margin accounts held with TBAU to restore acceptable gearing levels. The forced liquidation will usually occur automatically but notwithstanding the foregoing, TBAU has no obligation to take any action if your Account does not meet the margin requirements. TBAU has no liability to you for any loss arising from any such liquidation.
If you purchase a Marginable product denominated in a currency that you do not hold sufficiently, notwithstanding that you may have sufficient funds denominated in other currencies, the purchase will be treated as a purchase on margin in the currency which the Marginable product is denominated and your existing funds in other currencies will be utilised to satisfy the margin requirements for such purchase. You may elect to manually convert the other currency balances to the margin loan currency to repay the loan or authorise TBAU to, at its sole discretion, convert any available cash balance in any currency held in your margin account into the currency of any outstanding margin loan for the purpose of repaying the loan and reducing interest payable.
The margin loan provided to retail clients within the meaning of section 761G of the Corporations Act are non-recourse in nature, meaning the liability of the client to TBAU is limited to the rights related to the secured property/collateral. Therefore, you, being a retail client, will not be liable for any outstanding debit/negative balance on your account resulting from losses connected to your purchase of securities using TBAU's margin lending facility. However, certain financial services we provide to you, including margin lending and your account with us, may be suspended until any account deficit is repaid. Also, even if the deficit is eventually cleared, TBAU reserves the right to reassess your eligibility for margin lending and other financial services.
If you are not a non-retail client, any margin loan extended to you will be on a recourse basis. This means you will be personally liable for and must promptly repay any account deficit owing to TBAU, including but not limited to, amounts arising from, or remaining after, any liquidation of any positions.
Please refer to the standard margin lending facilities PDS for more information regarding the margin requirements, margin calls, and forced liquidation.
7. SHORT SELLING (ON A COVERED BASIS)
Without prejudice to the generality of any other provision relating to short selling under these terms, you acknowledge that short sales may only be executed as part of the standard margin facility in a margin account subject to our margin requirements.
TBAU does not permit you to maintain a long and short position in a particular short selling eligible product concurrently in your Margin Account. Accordingly, when you create a short sell order in respect of a quantity of a short sell eligible product which exceeds the existing long position quantity of such short sell eligible product held in your margin account (or expected to be held by the settlement of the sell trade), you will be taken to have made a sell order for such existing quantity and a borrowing request for the quantity of short sell eligible product necessary to cover the resulting short sale.
Before executing a short sale, TBAU will instruct its trading counterparties, generally market participants of the ASX and international exchanges, through whom TBAU will arrange to borrow the specified financial products for the purpose of lending them to you. These trading counterparties must confirm the availability of the specified financial products to ensure they can be delivered as required. You acknowledge that you are acting on your own account and will be personally liable, as principal, for all transactions entered under this margin T&Cs.
Please note that there is no assurance that shares available to borrow on the date of trade will remain available to borrow for delivery on settlement date and the short sale may be subject to forced close-out if the shares can no longer be borrowed for delivery.
If TBAU subsequently receives a recall notice from its trading counterparty, TBAU may seek to replace the borrowed stock by attempting to re-borrow the specified financial products from other trading counterparties. If TBAU is unable to do so, a formal recall will be initiated. You agree and acknowledge in lieu of giving you opportunities to deliver the equivalent short sell eligible stocks, such recalls can be executed by TBAU purchasing the equivalent short sell eligible stocks using Volume Weighted Average Price (VWAP) orders or on the open market at the prevailing current market price at TBAU’s sole discretion and without prior notice to you, and you will be solely responsible for all related costs and any losses incurred due from such forced closure of your short position.
If the stock price continues to rise after the stock is borrowed, the margin requirement for the stock will also continue to increase. In the event of insufficient margin, a liquidation will be triggered. If a stock with a high proportion of short positions rises sharply, it is likely to cause many short investors to rush to close their positions within the same period of time, leading to further stock price increases
The short selling eligibility of a particular share or ETF and IM and MM requirements can be verified via the Tiger Trade platform by searching for the asset’s name or ticker symbol. Within the asset’s profile page, you may select the “Long” or “Long and Short” icon to view its eligibility and applicable margin requirements.
TBAU does not transfer the title and interest in the borrowed specified equity to you.
You agree and acknowledge that short selling is subject margin requirements. You must meet the margin requirements for opening new short selling position or maintaining the existing position. Please refer to the standard margin lending facility PDS and the section of margin requirements, margin calls and forced liquidation above for more information.
TBAU shall be entitled to any interest, dividends, or other distributions of any kind of whatsoever paid to the specified equity borrowed on your behalf. You shall pay and deliver the equivalent on the payment date requested or as no later than the date as notified by TBAU.
The borrowing arrangement will be deemed terminated in the following circumstances:
· you have returned equivalent securities and closed the position.
· The short selling position is closed by TBAU following the execution of a recall notice.
· TBAU purchases the equivalent loaned securities upon the occurrence of a default in relation to you. For avoidance of doubt, TBAU may apply, use or liquidate any or all collateral provided by you to discharge your obligations to TBAU.
8. INTERESTS, FEES AND CHARGES
Margin lending
In addition to standard trading fees, TBAU charges interest on any loan balance arising from your margin trading. Interest accrues daily and is calculated separately for each currency in which you hold an outstanding balance. For example, when financing margin trading of U.S. securities, you will borrow in USD, and the applicable USD interest rate will be charged on the outstanding USD balance. Similarly, when funding trades in Hong Kong securities, you will be borrowing in HKD, with interest charged at the prevailing HKD rate. Please note that the margin loan will always be in the same currency as the trade funded.
Interest is generally posted monthly to your account, increasing the outstanding loan balance denominated in the respective currency. Interest is capitalised and added to the TBAU Margin Loan balance, increasing the outstanding loan balance denominated in the respective currency.
Fees and charges are subject to change at any time. For the most current fee schedule, please refer to our Financial Services Guide and the pricing page on our website.
Short selling
You shall pay TBAU a borrowing fee, also known as short rate, as calculated, compounded, determined and communicated to you by TBAU. TBAU may, in its sole discretion, impose and determine the borrowing fee from time to time without prior notice. The short rate of a particular share or ETF can be verified via the Tiger Trade platform by searching for the asset’s name or ticker symbol. Within the asset’s profile page, you may select the “Long and Short” icon to view the applicable short rate.