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Excess Liquidity

Trading Term

The Current Excess Liquidity figure shows your margin cushion, before liquidation.

  • For the Securities segment of your account:  Excess Liquidity = Equity with Loan Value – Maintenance Margin
  • For the Commodities segment of your account: Excess Liquidity = Net Liquidation Value – Maintenance Margin

When your Current Excess Liquidity is negative, your account is no longer meeting the minimum Maintenance Margin required to hold on to the open positions and we may start liquidating any open position to return the account to margin compliance. TWS Account Window

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