Interactive Brokers Sincerely Apologizes, But Hikes Margins on MOMO Stocks Once More
Courtesy of ZeroHedge
With a surprisingly apologetic note, IB just hiked margins on yet more of the "cult" momentum stocks that have signified the dot-com 2.0 bubble. Almost as if they know they know that their actions are the final straw on the camel's back:
We sincerely apologize for exercising our discretion to modify requirements with short notice, but believe this action to be warranted given the current market conditions.
Today's 30% hike follows Monday's 100% rise in margins and affects stocks such as TSLA (-16.5% from highs), QIHU, and SFUN.
Via Interactive Brokers,
Effective immediately, IB will be increasing the maintenance margin requirement on the securities listed below to the greater of 30% or 20% above the current risk-based requirement (in the case of positions held in a Portfolio Margin account).
