In accordance with the requirements of the Hong Kong Securities and Futures Commission (SFC), Tiger Brokers (Hong Kong) is required to set a maximum limit on each client’s virtual asset holdings based on the client’s assets and personal circumstances. This limit is referred to as the position limit.
Tiger will automatically calculate your position limit based on the net assets declared by you at the time of account opening, together with the client category to which you belong:
Position Limit = Net Assets Declared at Account Opening × Applicable Percentage
Client Category | Position Limit Percentage |
Ordinary Client (non–Professional Investor, non–Vulnerable Client) | 30% of declared net assets |
Professional Investor (PI) | 70% of declared net assets |
Vulnerable Client (whether or not a Professional Investor) | 20% of declared net assets |
*Note 1: The asset questionnaire completed during account opening is in a multiple-choice format. Asset levels are divided into ranges, and the user selects one range as their declared net assets. When calculating the position limit, Tiger uses the upper limit of the selected asset range as the net assets declared at account opening.
*Note 2: A Professional Investor (PI) refers to a client with assets of HKD 8 million or above who has completed PI certification. For ordinary clients, the maximum value used for the declared net asset range is capped at HKD 8 million. In other words, any declared net assets of HKD 8 million or above will be calculated as HKD 8 million. For Professional Investors who have completed PI certification, the calculation will be based on the actual net asset range declared by the client and will not be subject to the HKD 8 million cap.
*Note 3: Vulnerable clients refer to clients whose ability to understand or tolerate risks may be relatively limited when participating in highly volatile or complex investment products. Identification criteria include, but are not limited to: having a primary school education or below; being aged 75 or above, in which case the client will automatically be classified as vulnerable; or being aged between 65 and 75, in which case further risk assessment is required. A client may not be regarded as vulnerable if they can provide objective evidence demonstrating that they have sufficient ability to understand the relevant investment risks, such as relevant investment or trading experience, experience in the financial or professional sectors, asset size, and investment background. The position limit percentage for vulnerable clients will remain at 20% and will not be increased.
Where the sum of the total value of your outstanding virtual asset opening orders and the total value of your virtual asset holdings exceeds your position limit, any new virtual asset opening order submitted by you will be automatically rejected by the system. To continue placing orders to increase your virtual asset position, you may cancel outstanding opening orders or reduce your existing virtual asset holdings.
You may contact Tiger’s customer service team by phone to apply for an adjustment to your position limit. Where a substantial adjustment is requested, you may be required to provide proof of assets. To qualify for the Professional Investor percentage of 70%, you must also complete PI certification. The review of your position limit adjustment application and the corresponding adjustment will generally be completed within a few hours.