";s:4:"text";s:2298:" For more information please see Robinhood Financial’s Margin Disclosure Statement, Margin Agreement and FINRA Investor Information.
Why does this matter? The best way to avoid a margin call is to stay informed about what’s going on with the stocks you’ve bought with Gold buying power, and making the relevant information easy to understand was our top priority when designing Robinhood Gold. If margin falls to 1.1, then the position will be liquidated and you will be sold out of that position. That means you need to either deposit more funds or sell down at least a part of your position to raise that margin level in response to the call. Margin calls happen when the value of underlying stocks in your account fall, causing the account’s value to fall below your margin maintenance. In other words, you owe the broker more than brokerage and FINRA rules allow relative to the value of your stocks or bonds. If you do this you won't get a margin call until the equity in your account drops below $2,000 — an 83.3% drawdown in a portfolio starting at $12,000.
A margin call happens when you fall below the required maintenance margin. Robinhood Gold Buying Power. If you get a margin call, you need to bring your account value back up to your minimum margin maintenance, or you risk Robinhood having to liquidate your position(s) to meet the margin call. A margin call is when the broker contacts you and asks you to deposit funds to bring the account up to the margin maintenance minimum.
Before using margin, customers must determine whether this type of trading strategy is right for them given their specific investment objectives, experience, risk tolerance, and financial situation.
I'm trading with Robinhood Gold and received an email today saying my account was in danger of a margin call. Because Robinhood allows you to invest in low-cost, exchange-traded funds.