The total maintenance requirement (sometimes referred to as maintenance requirement for position-level requirements) is the minimum portfolio-level requirement that you need in your account to prevent a margin maintenance call. A margin call is a request to increase the amount of equity in your account. You can do this by depositing cash or by liquidating existing positions to generate cash and reduce the margin loan.

In line with US regulations, investors must maintain at least 25% equity in the account, which is referred to as the total maintenance requirement. This is calculated by multiplying each security position in your portfolio with the maintenance requirement ratio for that security and then adding up the total. The total maintenance requirement that you’re required to hold in your account as a minimum. Review these for example calculations.

You can find the maintenance requirement ratio for each security in its stock detail page.

You’ll be notified if your portfolio value drops towards the total maintenance requirement (within 5%). You will receive a margin call (in-app and push notifications and an email) when the portfolio value drops below the total maintenance requirement (or under the regulatory minimum of $2,000).

To view your margin status and maintenance requirement details:

1. Within your account’s Investing page, select Buying power
2. Select the Margin status card to expand and view the following details:

• Low or High risk status reflects how close you are to a margin call.
• Portfolio value is the total value of the assets in your account, including cash, stocks, and options. Any margin you’re using is subtracted.
• Buffer is the difference between your portfolio value and your total maintenance requirement, and is used to gauge how close you are to a margin call.
• Positions show the top 3 positions in your portfolio based on maintenance requirements.
• Interest is calculated daily at the end of the trading day, by multiplying your qualifying settled balance by the margin interest rate divided by 360. Interest is accumulated daily and charged to your investing account every 30 days at the end of your billing cycle. The amount shown is your interest accrued on the previous day.

3. At the end of the Positions section, select View all to view your maintenance requirement details with the following information about each position:

• Total maintenance requirement is the minimum portfolio value that you have to maintain to prevent a margin maintenance call.
• Maintenance requirement ratio is the minimum percentage of equity you need to have in a position while borrowing on margin. The requirement can range from 25%-100%.
• Maintenance requirement is the minimum amount of equity (in US dollars) you need to have in a position while borrowing on margin.
• Percent of total maintenance requirement shows how much the position contributes to your total maintenance requirement.
• Market value is the current value of the position.

To view your total maintenance requirement in real time, open this link.

Maintenance requirement ratios are based on a model that considers certain factors, such as volatility and market liquidity. For example, stocks that are known to be more volatile typically have higher maintenance requirement ratios to ensure you have enough portfolio value to cover the position if it quickly decreases in value.

If your portfolio value goes lower than the total maintenance requirement, you may get a margin call. You’ll need to bring your portfolio value back up to or above your total maintenance requirement. If not, you risk forced liquidation of your positions to bring your portfolio value back to more than your total maintenance requirement. Review How do I avoid a margin call for more details.

For example, let’s say you have $10,000 worth of stocks, of which $3,000 was paid for with a margin loan. The portfolio value needs to remain at or above $5,000 to meet the total maintenance requirement. So the account has a $2,000 surplus ($7,000 - $5,000). Check out the margin maintenance table (as described in the previous step 3) to view details about each position.

If all the stock values decrease by 50% overnight, your portfolio value changes to:

If your portfolio decreases by 50% with a $500 margin requirement deficit ($2,000 - $2,500), you would need to deposit at least $500 or sell securities to reduce your margin loan.

If you sell Stock B for $1,000, that would clear the deficit:

With this example, you would have no surplus. Note that if the portfolio value drops below $2,000, you’d be required to increase your portfolio back to the regulatory minimum of $2,000, or reduce your margin loan to $0.

You can compare your stock value in your portfolio (in Investing) to the total maintenance requirement (in Margin Investing) to determine if you're approaching a margin call.

All examples are hypothetical and don’t reflect actual or anticipated results. Content is provided for informational purposes only, doesn’t constitute investment advice, and isn’t a recommendation for any security, account type or feature, or trading strategy. Past performance doesn’t guarantee future results.

Margin investing is a high risk product. Leverage can magnify your losses and you could lose more than your initial capital. You must also repay your margin loan and any interest charges, which may result in the sale of securities. 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.

Robinhood can change its maintenance margin requirements at any time without prior notice. If the equity in your account decreases to less than the total maintenance requirement, you’ll have to deposit additional cash or acceptable collateral. If you fail to meet your minimums, Robinhood may be forced to sell some or all of your securities, with or without your prior approval.

Robinhood charges a margin interest rate that varies depending on your settled margin balance and the upper bound of the Target Federal Funds Rate, which is set by the Federal Reserve and is subject to change without notice. The formulas used to calculate the margin interest rate are subject to change at Robinhood’s discretion.

For more information, review FINRA’s Investor Alert and our Customer Relationship Summary, Margin Disclosure Statement, and Margin Account Agreement. These disclosures contain important information on Robinhood’s UK products and services, conflicts of interests, lending policies, interest charges, and the risks associated with margin investing enabled accounts.

In relation to margin, Robinhood UK is acting as credit broker and not a lender. Margin is provided by Robinhood Securities, LLC. Robinhood UK and Robinhood Securities, LLC are part of the same group. Robinhood UK can only introduce customers for margin to Robinhood Securities, LLC. Margin is subject to Robinhood's eligibility criteria and terms and conditions apply.