The Margin Facility offered by AB Capital allows you to leverage borrowed funds to purchase additional stocks, that may potentially result in higher returns.
Advantages & Benefits
Increased Potential Return on Investment
Margin allows you to borrow money from AB Capital to purchase additional securities, which can amplify returns on your investment.
Enhanced Portfolio Diversification
Margin enables you to purchase more securities that you might not have been able to purchase with your own funds.
Competitive Interest Rates
AB Capital’s rate is relatively competitive compared to cash loan options in other financial institutions.
Guidelines:
- Applicable to all existing clients of AB Capital Securities with Online Trading Account
- Client should be 21 years old and above
- Initial equity requirement of at least Php200,000
- Maximum credit limit is Php1,000,000
- Interest rate is 1.25% per month +12% VAT
Sample Computation:
Client borrow Php50,000 for 10 days to buy Stock ABC
| Amount : | Php50,000 |
| Interest Rate (1.25%) : | Php625 |
| Divide by 30 days : | Php20.83 |
| +12% VAT : | Php2.50 |
| Interest per Day : | Php23.33 |
| Total Interest (10 days) : | Php233.33 |
For more information, please read the
Frequently Asked Questions (FAQ) on Margin Facility.
| EXAMPLE OF ELIGIBLE FOR MARGIN | |
|---|---|
| 1. ALI | Ayala Land |
| 2. SMPH | SM Prime |
| 3. SM | SM Investments |
| 4. BDO | BDO Unibank |
| 5. AC | Ayala Corp |
| 6. MBT | Metrobank |
| 7. URC | Univ Robina |
| 8. TEL | PLDT |
| 9. MPI | Metro Pac. INV. |
| 10. GTCAP | GT capital |
| 11. CEB | Cebu Air |
| 12. TECH | Cirtech Holdings |
Start Leveraging
01
Print and email the Margin Application Form for assessment.
02
If application has been approved, print and sign the Margin Trading Agreement
03
Bring forms to head office or branch