Quality Priced Loan +

    Enjoy Share Financing rates as low as 2.8% with QPL+

    Promotion expiry: 31 December 2019

    Description

    From now till 31st December, enjoy our enhanced Quality Priced Loan scheme, QPL+,
    with even lower interest rates starting from 2.8% for financing in the Singapore market.

    Quality of
    Marginable 
    Securities
    Description SGD Lending Rates USD and HDK
    Lending
    Rates
    Grade 1  Major Global Index Component Securities 2.80% 3.50%
    Grade 2 Large Cap Securities with Market Capitalisation of more than $1 billion 4.50%

    Grade 3 Mid/Small Cap Securities 6.50%

    Grade 4 All other Marginable Securities 7.50%

     


    Who is eligible?

    This promotion is eligible to those who do not have a Share Financing account with us. Download this Application Form, Memorandum of Charge form, as well as QPL+ Selection Form and mail them to us to open one.

    Alternatively, you can visit our branch to open a Share Financing account:

     

    OCBC Securities Investors Hub

    18 Church Street

    #01-00 OCBC Centre South

    Singapore 049479


     

    What are the requirements to open a Share Financing account:

    • Be age 21 and above
    • Have an existing basic cash trading account with OCBC Securities


    What is a Share Financing account?
    A Share Financing account is a leveraged Trading Account that increases your share buying power. Trade up to 2.5 times your original value with shares as collateral and 3.5 times with cash as collateral. For more information on Share Financing accounts, click here.


    What is the Quality Priced Loan scheme about?

    With our first-to-market Quality Priced Loan scheme, you stand to enjoy lower interest rates based on the quality of securities in your portfolio starting from 3.5%, or 2.8% with the new QPL+. To view our list of marginable securities and their grading, click here.


    How are the interest rates calculated?

    A blended Interest rate shall be calculated based on the relevant interest rates corresponding to the various grades and will depend on the concentration of Marginable Securities customer holds from each tier.

    Marginable value of the customer’s portfolio as at previous business day, including all outstanding trades will be used for the computation of the interest rates daily.

    The following examples illustrate how interest rates are computed based on the quality and marginable securities in the customer’s portfolio. The blended interest rate in each example is derived from the below formula.

     

    Example 1

    Counter

    Grade

    MV of security

    Tiered Rate

    Company ABC

    1

    S$100,000

    2.80%

    Company DEF

    2

    S$20,000

    4.50%

    Company GHI

    3

    S$10,000

    6.50%

    Total

    -

    S$130,000

    -

    *MV = Marginable Value

     

    Blended Interest Rate = 3.35%


    Example 2 

    Counter

    Grade

    MV of security

    Tiered Rate

    Company ABC

    1

    S$100,000

    2.80%

    Total

    -

    S$100,000

    -

    *MV = Marginable Value

     

    Blended Interest Rate = 2.80%


    Example 3 

    Counter

    Grade

    MV of security

    Tiered Rate

    Company ABC

    1

    S$50,000

    2.80%

    Company DEF

    3

    S$20,000

    6.50%

    Company GHI

    4

    S$50,000

    7.50%

    Total

    -

    S$120,000

    -

    *MV = Marginable Value

     

    Blended Interest Rate = 5.38%


    What happens when the promotion ends?

    The normal QPL scheme will kick in when the QPL+ promotion ends. To view the normal rates, click here.


    Important Notes

    For full terms and conditions of Quality Priced Loan Plus promotion (“Promotion”), click here.

    Borrowing to finance the trading of securities (leveraging/gearing) carries a high degree of risk. If the value of the collateral declines substantially, falling below the maintenance margin requirement, you may be called upon to deposit substantial additional funds or collaterals on short notice in order to maintain your position. If you fail to comply with a request for additional funds or collaterals within the specified time, your position may be liquidated at a loss and you will be liable for any resulting deficit in your account. Trading in foreign securities includes, but is not limited to, currency risks and rules and regulations peculiar to the respective foreign stock markets.

    Customers should note that there are limitations and difficulties in using examples, tables or illustrations to provide a full explanation or depiction. All information, statements, figures, content, explanations, examples, and details (collectively, the “Information”) contained above is intended for illustrative and/or information purposes only and should not be relied upon for any purpose whatsoever. Customers should, in the event of any doubt as to how to read or understand the examples, tables, illustration or information, contact OCBC Securities Private Limited for a fuller explanation, depiction or further details.