Maintenance Margin Rate

What is the margin rate?

The margin rate may drop to the minimum maintenance margin rate when the futures trading price fluctuation causes unrealized loss to reach a certain amount, triggering liquidation. The price at that point is referred to as the estimated liquidation price.

Margin rate calculation:
Margin rate = (opening margin + unrealized PnL) ÷ position value

Position value = (lot size × number of lots × latest mark price)

What is the maintenance margin rate?

WEEX uses a tiered maintenance margin rate structure to reduce the market impact of large position liquidations. The larger the position, the higher the minimum maintenance margin rate. The higher the minimum maintenance margin rate, the lower the maximum leverage available.

In isolated margin mode, the system calculates the number of lots, position tier, and required minimum maintenance margin rate for long and short positions separately.

How the maintenance margin rate relates to risk:

• Higher maintenance margin rate → More margin required → Lower available leverage → Relatively low risk
• Lower maintenance margin rate → Less margin required → Higher available leverage → Relatively high risk

Viewing the maintenance margin rate and calculation tool

In the app, go to the futures trading page and use "…" to access the relevant information:

• View the position tier of your current position and the corresponding maintenance margin rate.
• Use the calculator tool to quickly calculate PnL, exit price, and liquidation price.