Maintenance margin30%
25check your broker's rate for this security75
CIRO minimum presets
Margin call buffer
Price has to fall 41.2% to $50.00 before a maintenance call.
Price drop to margin call
41.2%
Market value
$17,000
Your equity
$10,000
58.8% of position
Margin call price
$50.00
Equity lost by the call
$7,000
Distance to maintenance threshold51% of limit
Equity is 58.8% of market value now; the call triggers when it reaches 30%.
Model assumptions
- Single long equity position; interest on the margin loan is not accrued into the math.
- Brokers apply house rates that can be stricter than CIRO minimums, and rates change with volatility. Confirm yours.
- Brokers can issue calls, raise rates, or liquidate without waiting for this threshold in fast markets. The buffer is geometry, not a guarantee.
Sources
- CIRO minimum margin for long equity positions: 30% for securities on the reduced-margin list, 50% standard — CIRO Investment Dealer and Partially Consolidated Rules, Rule 5300 series (s. 5310)
- Reduced-margin eligibility list — updated quarterly by CIRO; a security’s rate can change at each refresh