SMA refers to the Special Memorandum Account, which represents neither equity nor cash, but rather a line of credit created when the market value of securities in a Reg T margin account increase in value. Only the funds sitting in your MEXEM Universal Account's Securities segment are included in SMA. If you are also trading commodities, cash will be moved from the Securities segment to the Commodities segment in order to facilitate the trade. This will cause your SMA to drop accordingly. Once the contract is closed and the margin requirement is released from any statutory hold period, you can have the settled cash swept back to the Securities segment by choosing "Sweep to Securities" for your account's Excess Funds Sweep setting. The SMA balance is not a cash balance and it cannot be transferred into cash.
All investments involve risks, including the possible loss of capital.
www.mexem.com is a website owned and operated by MEXEM Ltd. MEXEM Ltd is a European broker regulated by CySEC, license No. 325/17.
Read our Forms & Disclosures.
Any advertisement or communication concerning the distribution of derivatives falling within the scope of the Regulation of the FSMA of 26 May 2016 governing the distribution of certain derivative financial instruments to retail clients is not addressed to the Belgian public.