facebookTDA Singapore only has Margin Account, no Cash Account. If I have $50k in the Margin Account and I buy a US stock with a total cost of $20k. Is my purchase is considered as a "cash investment" without any margin, since I still have $30k balance? - Seedly

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Anonymous

17 Aug 2020

βˆ™

General Investing

TDA Singapore only has Margin Account, no Cash Account. If I have $50k in the Margin Account and I buy a US stock with a total cost of $20k. Is my purchase is considered as a "cash investment" without any margin, since I still have $30k balance?

I asked this because I don't want my long-term investment to be a "margin investment" and get a margin call if it goes against me badly in the short term.

Had spoken to TDA but they had advised me wrongly before, so wanted to check.

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Nicholas Beh

Nicholas Beh

14 Aug 2020

Student Ambassador 2020/21 at Seedly

You will only be borrowing from margin when the value of your order exceeds the balances in your account. Since TDA is a USD-only account, I doubt you will have issues unlike other brokers which may charge you margin if you do not have the appropriate amount in the right currency, even if you have sufficient cash.

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