Gearing is borrowing money for the purpose of investing. By taking out a margin loan you’re able to add borrowed funds to your own to increase the amount available for investment.
Investors can leverage share trading and trade shares with CMC using a margin loan from any margin lending provider you choose.
Margin Loan Overview
Trading with your margin loan often involved inefficiencies and extra costs due to limited connectivity between the lender and broker. Our Invest platform offers leveraged real-time connection, removing these obstacles of your invest journey. This advancement makes it simpler and more cost-effective to trade using your margin loan capital through the CMC Invest platform.
To get started, simply log into your online account. From there, select "margin loans" from the account dropdown menu. This will provide you with a comprehensive overview of your leverage margin loan account, helping you make informed and efficient investment decisions.
The platform allows you to view specific details including your total market value, gearing ratio, lending value, and available funds. Additionally, you can explore a detailed list of approved shares available for leveraging. This list also shows key metrics like the diversified lending ratio, standard lending ratio, and allowable concentration.
In the investment section of the margin loan overview, you will find full details of your investments, including any unsettled trades. The collateral section displays securities held by third-party guarantors as well as non-CHESS holdings, which are part of your margin loan portfolio.
Managing risk
Check your current buying power, which is calculated based on various lending ratios. This feature makes it easier to manage your trading activity and settlement risk effectively.
CMC Invest user-friendly platform simplifies the process of buying and selling shares using your leveraged equities margin loan. It also offers free conditional orders, such as trailing stop loss and trailing take profit functionality. These tools allow to place orders exactly when wanted, helping control risk and making trading with margin loan capital straightforward and manageable.
