Welcome to Tesla Motors Club
Discuss Tesla's Model S, Model 3, Model X, Model Y, Cybertruck, Roadster and More.
Register

Margin requirement for TSLA at your broker

dl003

Active Member
Nov 22, 2019
1,869
18,037
Texas
Right now I'm using IBKR. I like the features and the margin rates although I don't use much margin at all. What I don't like is how anal its margin requirement for TSLA is. Hate it. I think mine is up to 75-80% although I don't use much margin at all.
Just wanted to see if everybody knows what their broker(s) requires? I might need to switch as this is getting ridiculous. I'm using Portfolio Margin.
Looking into E*trade and it seems they have 70% as well. Can't find this information easily on the web.
Your input is appreciated!
 
I'm experiencing the same thing at interactive brokers right now. I just switched over to them as well. I'm super disappointed with the margin rate on TSLA stock. I should have researched this more ahead of time. I switched to them to get access to the margin loans for down the road. I might look into Schwab if its really 40 percent with TSLA.
 
Right now I'm using IBKR. I like the features and the margin rates although I don't use much margin at all. What I don't like is how anal its margin requirement for TSLA is. Hate it. I think mine is up to 75-80% although I don't use much margin at all.
Just wanted to see if everybody knows what their broker(s) requires? I might need to switch as this is getting ridiculous. I'm using Portfolio Margin.
Looking into E*trade and it seems they have 70% as well. Can't find this information easily on the web.
Your input is appreciated!
I'm in IB too, and using some margin. They recently announced a margin increase in accounts that have concentrated positions of TSLA. This is my trading account, so it has only TSLA and cash.
The note is kind of confusing.. if I understand it correctly, they now run a stress test on TSLA that stimulates a -50% drop in share price, and the margin requirement is whatever comes from under that test.

I did some calculations, according to those maintenance margin requirement came to about 66% and initial margin to about 72%.

Unfortunately I don't know of any other broker here in EU that will deal with us options.. so stuck here at IB.
 

akslee

New Member
Apr 9, 2021
1
0
Canada
I confirm Etrade uses 40% margin requirement for TSLA
Screen Shot 2021-04-09 at 10.15.57.png
 
40% margin requirement is great, but what is the margin interest rate at Schwab and ETrade? Will they lower it if you ask? Thanks.
Schwab will lower if you ask. I asked and they gave me a rate of 4.75 if I remember correctly. That rate is locked in for one year. I haven't pulled the trigger yet but if I do, I probably won't keep it for more than a year since I have plenty of long term shares I can use to erase the debt.
 
  • Helpful
Reactions: PeterJA

Products we're discussing on TMC...

About Us

Formed in 2006, Tesla Motors Club (TMC) was the first independent online Tesla community. Today it remains the largest and most dynamic community of Tesla enthusiasts. Learn more.

Do you value your experience at TMC? Consider becoming a Supporting Member of Tesla Motors Club. As a thank you for your contribution, you'll get nearly no ads in the Community and Groups sections. Additional perks are available depending on the level of contribution. Please visit the Account Upgrades page for more details.


SUPPORT TMC
Top