Deposit initial margin:

Clients can submit cash directly at banks’ counters situated at HSC transaction offices or transfer money to HSC accounts as listed below:

In HCMC

Banks in HCMC Bank account Account name
Vietinbank, HCMC branch 119.000.188.148 Ho Chi Minh City Securities Corporation
BIDV, NAM KY KHOI NGHIA branch 119.10.00.035185.4 Ho Chi Minh City Securities Corporation
VCB, HAI TRIEU branch 0071.0011.58967 Ho Chi Minh City Securities Corporation

In Hanoi

Banks in Hanoi Bank account Account name
TECHCOMBANK, Hanoi branch 191.26666666.016 Ho Chi Minh City Securities Corporation, Hanoi branch

Note: Content of payment order: “Account 011Cxxxxxx, account holder(*)”

(*) Please write your full name

Withdraw initial margin:

At any time in a trading day, clients can withdraw money from the Excess Equity balances in their accounts. 

Clients can choose one of the two methods:

  • Place money transfer order 
  • Withdraw money directly at HSC’s transaction offices

Client can transfer money between underlying securities account and derivative account.

Initial margin (IM)

IM is the initial cash deposit required for the position traded.

IM is calculated as follows: 

IM = IM ratio x number of contracts x M x price

In which:

IM ratio is determined by HSC and is subject to change. The current IM ratio is as below:         

VN30 Index Futures Contract: IM ratio = 24% 

M is contract multiplier. Each product has different M. 

VN30 Index Futures Contract: M = VND100,000

Price:

  • During trading hour, price is the closest matched price, or 
  • After trading hour, price is the last payment price determined by clearing house. 

Maintenance Margin (MM)

Maintenance Margin is the minimum margin that clients must have in their accounts to maintain their positions. MM is calculated as below:

MM = MM ratio x IM

In which, MM ratio is determined by HSC and is subject to change. Currently, HSC is applying an MM ratio of 80%. 

When value of account balance drops below MM, clients will receive notification from HSC on the amount of fund clients must deposit to the account to maintain the required MM (Margin Call).

Margin ratio:

Margin ratio (R) = (Equity Balance) / (Initial margin)

Margin ratio indicates the current level of risk of client account.

HSC’s regulations:

Position Margin ratio Description
Normal R > 100%

1. The account can open new positions if the remaining Equity balance is sufficient according to HSC’s regulations.

2.  Money from the account can be withdrawn:

The amount can be withdrawn = excess equity = equity balance – margin requirement
  R = 100% •  The account is at the status, which is similar to when initial margin is deposited. 
Maintenance 80% ≤ R < 100% •  The account has “margin maintenance” status and does not require variation margin. 
•  The account cannot open new positions and fund in the account cannot be withdrawn.
Margin Call 60% ≤ R < 80% •  The account has “Margin call” status, which requires additional fund to be submitted or some of the existing positions to be closed to bring its status to “margin maintenance” status.
Forced Close R < 60% •  The account is forced to close some or all of its positions.
•  In this situation, HSC might have to close positions immediately at any time. 

Margin Call

Margin Call is the amount of fund that clients must deposit to their accounts to bring the account balance back to the IM level. Margin call is calculated as below:

Margin Call = Initial Margin – Equity Balance

Notification on Deposit of Margin Call

When clients’ account balance drops below the MM level, from 16:30 PM on the T day, clients will receive notification from the registered communication channels (SMS, email) on the margin call requirement.  

Margin Call Process

Clients must deposit the margin call to the accounts or reduce their positions to bring the account balance to the IM before 11:30 AM on the T+1 day.

By 13:00 PM on the T+1 day, if clients have not been able to deposit the required margin call, HSC will take steps as stated in futures contracts to reduce clients’ positions.