Applersw09

Can someone explain when interactive brokers sell the stock (margin account)?

I'm new to this and I called them several times but they're not giving me a numeric example to understand exactly based on what conditions they sell the stock if the price goes down. Let's say I have $100k of Apple stock at the price of $100 per share (just example for the sake of simplicity) and I got $200k of margin account (loan against this stock). Now if the value of my original $100k goes down to X (because Apple share went down to some Y amount), they will sell my Apple stock to collect their loan. My question is what is that X? Is it a percentage (or any other function) of the original 100k? Can someone explain this to me? Thanks

Facebook wACS86 Sep 8, 2021

It’s not a straightforward calculation. Make sure SMA and excess liquidity >0. Start slow and build margin over time https://www.interactivebrokers.com/en/index.php?f=24862