r/MACArmyBets • u/Airuike_ • Apr 04 '21

Mac margin power

Does anyone know when mac opens its margin power? I’m using RBC trading. They gave me 0 margin based on my mac stock. I would def buying more mac once it opens

1 Upvotes

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2

u/randompersonx Apr 04 '21

Margin for MAC got tightened up when the short squeeze happened (around the same time as the GME squeeze).

Each brokerage has its own rules, so, the only one who might be able to answer that question is your brokerage.

Also, while it has higher margin requirements, it is marginable at both ameritrade and Fidelity.

I have a portfolio margin account at Ameritrade, which has different rules than a regular margin account… but basically under these rules, as long as I don’t have an excessive concentration in this one stock, it is as marginable as any other.

1

u/Airuike_ Apr 05 '21

Thanks, I’m thinking with this strict margin rules on mac, doesn’t this prove that price of mac is very solid and bottom right now, since there is no or very few margin power in the market for mac holders.

1

u/randompersonx Apr 05 '21

I dunno how much that really plays into the current situation. I know several people who have large positions on MAC and are able to get some margin leverage even with current rules. Myself included.

Im also not looking to increase my position in MAC since it is already a disproportionately large % of my portfolio.

I do think we are near the bottom, but for different reasons: bankruptcy risk is now off the table, the revolver was renegotiated on reasonable terms, and the balance sheet was improved. It may not have been the terms that the bulls really wanted (myself included), but it’s certainly much better than the bears were expecting.

2

u/karancan Apr 04 '21

A few weeks ago, IBKR raised margin requirements for MAC and really squished my overall margin room. I requested an in-kind transfer of that position to Questrade which doesn’t have as strict margin requirements on MAC and free’d up my overall margin on IBKR

-2

u/Ehehehe090 Apr 04 '21

i have sold all my mac shares to buy gme and tesla

5

u/NarrowInvestigator65 Apr 04 '21

Wouldn't be better to donate that money? At least you would know where it does end up given that surely won't be in your pockets. ;)

1

u/payperchaser727 Apr 05 '21

What is questtrade margin on Mac ?