Nominal Value available to buy

1. What is the NV available to buy on cash?

The NV available to buy on cash of a bond is calculated based on the Cash Withdrawable of the payment account.


2. What is the maximum NV available to buy?

The maximum NV available to buy of a bond is calculated based on the Maximum Withdrawable Amount of the payment account. The part of nominal value exceeding the NV available to buy on cash will be financed by Futu. However orders with a nominal value exceeding the maximum NV available to buy could not be placed.


3. Can I use Futu financing to buy bonds?

By using stocks and unsettled funds in the Futu securities accounts as collateral, customers can borrow more funds from Futu to buy bonds. Using financing amplifies both gains and losses, thus clients shall have strong risk tolerance.


4. What is the margin rate for buying bonds? How is it charged?

The annualized margin rate of USD bonds is 4.8%. Interests will be charged on a natural day basis and will be deducted at the end of the month.


5. How do I buy bonds using financing?

If the NV of the order exceeds the NV Available on Cash but not the Maximum NV Available, the exceeding part will be processed as using financing automatically.


6. What should I do if I want to buy bonds but I exceed the maximum NV available?

You can increase the Cash Withdrawable or Maximum Withdrawable Amount of your payment account by depositing more money or closing part of your position.