Liquidation

Liquidation Process

Cross-margin accounts have two liquidation thresholds:

Position Liquidation (110% margin ratio) Individual positions may be liquidated to restore portfolio health. Liquidated positions appear in your order history marked as "liquidation".

Portfolio Liquidation (105% margin ratio) If the margin ratio falls below 105%, your entire portfolio is liquidated.

The Cross Margin Ratio Formula:

$$cross\,margin\,ratio = (adjusted\,equity + unrealized\,PnL) / maintenance\,margin\\$$

$$maintenance\,margin = portfolio\,margin * maintenance\,margin\,ratio (5\%)$$

If a position is liquidated, users can find the record in their order history labeled as "liquidation".