Margin requirements change later in the day

[blash]

The margin requirement with IB for trading the Dax has increased later in the day.

I have placed trades at various times today and filled without any problems.

I've just tried to place another trade and the margin required is more than before.

Anyone else experience this or know why?

 

[Trader333]

Your account cannot have much in the way of funds above the original margin requiremehts if this has happened. There may be 2 possibilities either your account has dropped below the minimum needed or exchange rates have affected margin requirements.


Paul

 

[blash]

The account funds have increased through the day and the amount of contract traded has stayed the same.
The margin requirements have increased by quite a large amount so I wouldnt have thought it was exchange rates.

This has happened twice this week and always late in the day.

 

[Trader333]

blash,

I admit I am wrong and dont know why this change is happening. Try sending an email and ask as I have always found them good at answering questions.


Paul

 

[boy]

blash,

the reason is that by a certain time every afternoon the margin requirement to trade the dax increases to the overnight margin req from the smaller daily req.

so you will find in your excecution statement the system has autmaticaly closed some of the open contracts to regulate everything.

 

[madasafish]

read the IB statements on margin: takes effect from 6pm I think

 

[def]

from the ib web site:
Futures products, other than futures traded on the SNFE will be margined at 50% of normal during normal liquid trading hours for each product type. Each day at 15 minutes before the close of the normal trading session for a product, margin requirements will revert back to the 100% requirement until the opening of normal trading hours. Margin requirements will always be applied at 100% for all spread transactions. 50% margin benefit is not available for IRA accounts.

....
The Eurex contracts revert to full margin at 18:45 CET