SHARE FINANCING ACCOUNT

Pledge your shares to increase your trading power

Why you will love this
Who can apply

Why you will love this

Share financing lets you trade up to 3.5 times your original value with cash pledged as collateral and up to 2.5 times with shares pledged as collateral.

Who can apply

Anyone age 21 and above, with a Basic Trading Account

Apply now

For local application
For overseas application

For local application

Apply at a branch with these supporting documents

For Singaporeans and Permanent Residents:
- NRIC/SAF/SPF ID and Passport
For Malaysians:
- IC and Singapore Residence Pass (e.g. Employment pass) if applicable
For Foreigners:
- Valid Passport and Singapore Residence Pass (e.g. Employment pass) if applicable
Note: Bring the originals of these Identification Documents (ID)
Provide us with the original or electronic copy of any of the following documents reflecting your name and address:
- Bank statement from a Monetary Authority of Singapore (MAS) licensed bank
- Latest CPF statement
- Latest Notice of tax assessment from IRAS
Note: Document(s) must be dated no older than 3 months from date of application. If your mailing address is different from your residential address, please provide one document for each address.
If you are applying for a corporate account, please call us at 1800 338 8688

Locate a branch

For overseas application

Mail in the completed application forms with copies of:

Required for all:
- Application form (individual) or Application form (joint)
- Memorandum of Charge form
Optional Forms
- For trading in the US Market: W8BEN form
- For trading Specified Investment Products (SIPs): Customer Account Review (CAR) declaration
Provide a copy of your identification:

For Singaporeans and Permanent Residents:
- NRIC/SAF/SPF ID and Passport
For Malaysians:
- IC and Singapore Residence Pass (e.g. Employment pass) if applicable
For Foreigners:
- Valid Passport and Singapore Residence Pass (e.g. Employment pass) if applicable
Bring your original ID, the photocopy and our account application form to any of the below authorised parties to witness your signature on the form and certify true copy of your ID:
- Notary Public
- Advocates & Solicitors
- Singapore Embassy
The witnessing officer should provide his/her name and contact details.
Provide us with the original or electronic copy of any of the following documents reflecting your name and address:
- Bank statement from a Monetary Authority of Singapore (MAS) licensed bank
- Latest CPF statement
- Latest Notice of tax assessment from IRAS
Note: Document(s) must be dated no older than 3 months from date of application. If your mailing address is different from your residential address, please provide one document for each address.
Mail it to us

OCBC Securities Private Limited
18 Church Street #01-00,
OCBC Centre South,
Singapore 049479

Grab the opportunity to trade more with your idle shares.

Features

Enjoy lower interest rates

Our Quality-Priced Loan scheme lowers your interest rates when you increase the proportion of high-quality shares in your Share Financing portfolio under our Quality-Priced Loan scheme.

Share Financing Simulator

The Share Financing Simulator on our iOCBC trading platform helps calculate your margin percentage

Save on foreign exchange conversion costs

We can finance your trades in 4 different currencies: SGD, HKD, USD and AUD. This lets you take up a loan, execute and settle your trades in multiple currencies and reduce unnecessary foreign exchange conversion costs.

View more details on our Multi-Currency Share Financing feature.

Trade beyond Singapore and diversify your asset classes

We accept over 3,000 listed securities across 5 major markets: Singapore, Hong Kong, US, Australia and Malaysia. The marginable securities span across many different asset classes, such as Company Shares, Real Estate Investment Trusts (REITS), Bonds, Exchange-Traded funds (ETFs) and American Depository Receipts (ADRs).

Promotions

Enjoy Share Financing rates as low as 4.50% p.a. with our enhanced Quality Priced Loan scheme, QPL+

Enjoy our enhanced Quality Priced Loan scheme, QPL+, with even lower interest rates starting from 4.50% p.a.

As an added benefit, you get to enjoy lower online commission rates across the 5 main markets.

This promotion is valid till 31 December 2024.

Interest rates starting from 4.50% p.a.

Quality of Marginable Securities	Description	SGD Lending Rates	USD Lending Rates	HKD Lending Rates	AUD Lending Rates
Grade 1	Major Global Index Component Securities	4.50%	5.70%	5.50%	5.25%
Grade 2	Top 100 securities by market capitalisation in respective exchanges that have met certain financial and trading criteria as determined by OCBC Securities	4.80%	5.90%	5.75%	5.50%
Grade 3	Mid/Small Cap Securities	5.20%	6.00%	6.00%	5.75%
Grade 4	All other Marginable Securities	7.00%	7.00%	7.00%	7.50%

Subject to changes without prior notification.

Lower online commission rates with QPL+

Who is eligible?

This promotion is eligible to all existing Share Financing account holders and those who do not have a Share Financing account with us yet.

Existing Share Financing account holders
Simply complete the QPL+ Selection Form and mail it to us.

If you do not have a Share Financing account, open one 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 4.50% p.a. 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 (SGD)	1	S$100,000	4.50%
Company DEF (AUD)	2	S$20,000	5.50%
Company GHI (HKD)	3	S$10,000	6.00%
Total	-	S$130,000	-

*MV = Marginable Value

Blended Interest Rate = 4.77% p.a.

Example 2

Counter	Grade	MV of security	Tiered Rate
Company ABC (SGD)	1	S$100,000	4.50%
Total	-	S$100,000	-

*MV = Marginable Value

Blended Interest Rate = 4.50% p.a.

Example 3

Counter	Grade	MV of security	Tiered Rate
Company ABC (AUD)	1	S$50,000	5.25%
Company DEF (SGD)	3	S$50,000	5.20%
Company GHI (USD)	4	S$20,000	7.00%
Total	-	S$120,000	-

*MV = Marginable Value

Blended Interest Rate = 5.52% p.a.

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.

Terms & Conditions apply.

Grades of Marginable Securities

View full list of marginable securities and their respective grades here

Grades of Marginable Securities

View full list of marginable securities and their respective grades here

How It Works

Our Share Financing account comes with a secured credit facility. Deposit your marginable securities with us and free up your asset value to increase your share buying power.

	Share as Collateral	Cash as Collateral
Leveraging trading up to	2.5 times	3.5 times
Collateral amount	S$10,000	S$10,000
Purchasing amount	S$25,000 (2.5 times)	S$35,000 (3.5 times)
Margin percentage	140% Total share value/ loan amount (S$10,000 + S$25,000) / S$25,000	140% Total share value/ loan amount S$35,000 / (S$35,000 - S$10,000)

Share as Collateral

Leveraging trading up to
2.5 times

Collateral amount

S$10,000

Purchasing amount

S$25,000 (2.5 times)

Margin percentage

140%
Total share value/ loan amount
(S$10,000 + S$25,000) / S$25,000

Cash as Collateral

Leveraging trading up to
3.5 times

Collateral amount

S$10,000

Purchasing amount

S$35,000 (3.5 times)

Margin percentage

140%
Total share value/ loan amount
S$35,000 / (S$35,000 - S$10,000)

Eligibility requirements

Minimum age

Age 21 and above

Deposit requirements

Minimum cash deposit of $5,000 (in SGD or SGD equivalent) or deposit $5,000 (in SGD or SGD equivalent) worth of marginable securities

Commission rates and charges

View the share financing commission rates and charges here

Terms and conditions

View Terms and Conditions governing sub-accounts with OCBC Securities as the depository agent

Disclaimer

Risk warning for Share Financing
Borrowing to finance the trading of securities (leveraging/gearing) carries a high degree of risk. If the value of the collaterals declines substantially, falling below the maintenance margin requirement, you may be called upon to deposit substantial additional funds on short notice in order to maintain your position. If you fail to comply with a request for additional funds or reduce your loan within the specified time, your position may be liquidated at a loss and you will be liable for any resulting deficit in your account.

FAQS

Frequently Asked Questions about Share Financing Account

Open a Share Financing account today

Apply now

or get in touch with us.

Share Borrowing

A leveraged account that lets you borrow shares for short selling, hedging and other strategies.

Learn more

Equity-Linked Notes

Short-term investments to buy or sell shares of selected company at a discounted price

Learn more

Leveraged Forex and Precious Metals

More than 40 FX pairs including currencies paired against precious metals

Learn more

If Margin Ratio falls	What happens
Between 130%-140%	Margin call to restore the margin percentage to 140% within 2 market days
Below 130%	Margin call to restore the margin percentage within the date of notice

Example: John deposits S$10,000 worth of securities. This gives him a leverage of 2.5 times. He gets to purchase an additional S$25,000 worth of shares, bringing his total collateral value to S$35,000
However during the loan period, the value of his collateral falls by S$1250, causing his margin percentage to drop to 135%

Here are actions he can take to restore his margin percentage to 140% Option 1: Top up S$893 in cash

Option 2: Deposit additional S$1250 worth of shares

Option 3: Liquidate S$3125 worth of shares (at possible loss)