Leverage is an important indicator for the degree of risk in an account.

Leverage = sum of absolute value of market value of current security and fund positions / total assets of security and fund.

Note 1. The maximum leverage allowed in a margin account is 5x.

Note 2. Considering factors such as historical volatility, liquidity, and risk, and not every stock can be bought with 5 times leverage. Generally, the margin ratio ranges from 20% to 100% for long trading. Stocks with a margin ratio equal to 20% can be understood as 5 times leverage buying, and stocks with a margin ratio equal to 100% can be understood as 0 times leverage buying, that is, all stocks are bought with cash. It is important to note that the short margin may be greater than 100%.

Note 3. The margin requirements for each individual stock can be found on the stock’s detail page by clicking on the yellow $ icon.

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