Grade-Based Margin

Introduction

Interest rate and the interest calculation in Grade-Based Margin financing is based on the stock ranking. There are 3 layers of outstanding based on stock quality and margin value* in Grade-Based Margin financing.

More Grade 1 stock in securities portfolio , lower interest rate it is. ! The calculation of interest rate is as follows：

Grade 1 Stock list

Cat in Maze, TVC of margin financing service, Phillip HK, 2024

YouTube video(Mandarin)

WeiBo video(Mandarin)

Table Footnotes:

P refers to the Prime rate of Standard Chartered Bank.

Other stock refers to all stocks that are not in Grade 1 Stock List.

Call for Deposit interest rate for Chinese Yuan Renminbi (CNY) is 3.88% p.a.
Call for Deposit interest rate for Hong Kong Dollar (HKD) is 14.625% (P+8.5%) p.a.
Call for Deposit interest rate for United States Dollar (USD) is 10.625% (P+5%) p.a.

For introduction and margin cost calculation, please click Graded-based Margin . For margin rates of other currencies, please visit Margin Rates

Footnote 1: The above grade-based interest rate will be based on the effective rate which is subject to the latest Hong Kong Dollar Prime (P) rate of Standard Chartered Bank.

Footnote 2: The flat interest rate for non grade-based margin account is P(HKD Prime rate of Standard Chartered Bank) + 3%.

*The margin ratio of stock is for reference only, which is subjected to change as determined by both the market and specific company factor. The company deserves the right to provide a different ratio to client based on his account situation.

Clients must submit supporting documentation to the Company to confirm that the depository payment is from his/her own bank account. Acceptable documentation include, but is not limited to, bank statements, cheque images, and online banking screenshots. The deposit will be credited to the Client account on the day that supporting documentation is provided. Until the supporting documentation is submitted, the deposit will not be treated as “credited”. The daily cut-off time for collecting the supporting documentation is 4:00 p.m., any supporting documentation received after 4:00 p.m. will be deemed to be received on next working day. Clients will be liable for any relevant interest, commission, fines and other charges incurred as a result of not being "credited".

Introduction

The interest rate and the interest calculation in Professional Investor Grade-Based Margin (“PI GBM”) financing are calculated based on the grading of each stock in your portfolio.

By being a Professional Investor, you can join our Professional Investor Grade-Based (“PI GBM”) Financing.

Higher proportion of Grade 1 Stock in securities portfolio, lower interest rate!

The margin financing rate of the portion of the Grade 1 Stock holding over HKD $1,000,000 can be reduced to as low as *P-1.5%.

Complete the form and submit it to your account executive to register as a Professional Investor with us today.

The calculation of interest rate is as follows:

Example: Assume if a client has sufficient Grade 1 Stock margin value

Footnote 1: The above grade-based interest rate will be based on the effective rate which is subject to the latest Hong Kong Dollar Prime (P) rate of Standard Chartered Bank.

Footnote 2: The flat interest rate for non grade-based margin account is P(HKD Prime rate of Standard Chartered Bank) + 3%.

Grade 1 Stock List

Stock Code	Market	Stock Name	Margin Ratio
1	HK	CKH HOLDINGS	0.8
2	HK	CLP HOLDINGS	0.85
3	HK	HK & CHINA GAS	0.85
4	HK	WHARF HOLDINGS	0.7
5	HK	HSBC HOLDINGS	0.8
6	HK	POWER ASSETS	0.85
11	HK	HANG SENG BANK	0.85
12	HK	HENDERSON LAND	0.8
16	HK	SHK PPT	0.8
17	HK	NEW WORLD DEV	0.8
20	HK	SENSETIME-W	0.6
23	HK	BANK OF E ASIA	0.7
27	HK	GALAXY ENT	0.7
66	HK	MTR CORPORATION	0.85
83	HK	SINO LAND	0.8
101	HK	HANG LUNG PPT	0.8
123	HK	YUEXIU PROPERTY	0.6
135	HK	KUNLUN ENERGY	0.7
144	HK	CHINA MER PORT	0.8
151	HK	WANT WANT CHINA	0.8
168	HK	TSINGTAO BREW	0.6
175	HK	GEELY AUTO	0.8
241	HK	ALI HEALTH	0.6
257	HK	EB ENVIRONMENT	0.7
267	HK	CITIC	0.8
268	HK	KINGDEE INT'L	0.6
270	HK	GUANGDONG INV	0.7
285	HK	BYD ELECTRONIC	0.6
288	HK	WH GROUP	0.7
291	HK	CHINA RES BEER	0.7
316	HK	OOIL	0.6
322	HK	TINGYI	0.7
371	HK	BJ ENT WATER	0.7
384	HK	CHINA GAS HOLD	0.7
386	HK	SINOPEC CORP	0.8
388	HK	HKEX	0.8
392	HK	BEIJING ENT	0.8
412	HK	SDHG	0.2
570	HK	TRAD CHI MED	0.6
669	HK	TECHTRONIC IND	0.8
688	HK	CHINA OVERSEAS	0.8
700	HK	TENCENT	0.8
728	HK	CHINA TELECOM	0.8
762	HK	CHINA UNICOM	0.8
780	HK	TONGCHENGTRAVEL	0.6
788	HK	CHINA TOWER	0.7
823	HK	LINK REIT	0.8
836	HK	CHINA RES POWER	0.7
857	HK	PETROCHINA	0.8
868	HK	XINYI GLASS	0.6
881	HK	ZHONGSHENG HLDG	0.6
883	HK	CNOOC	0.8
914	HK	CONCH CEMENT	0.7
916	HK	CHINA LONGYUAN	0.7
939	HK	CCB	0.8
941	HK	CHINA MOBILE	0.8
960	HK	LONGFOR GROUP	0.6
966	HK	CHINA TAIPING	0.7
968	HK	XINYI SOLAR	0.8
981	HK	SMIC	0.7
992	HK	LENOVO GROUP	0.8
998	HK	CITIC BANK	0.8
1024	HK	KUAISHOU-W	0.7
1038	HK	CKI HOLDINGS	0.8
1044	HK	HENGAN INT'L	0.8
1066	HK	WEIGAO GROUP	0.6
1088	HK	CHINA SHENHUA	0.8
1093	HK	CSPC PHARMA	0.6
1099	HK	SINOPHARM	0.7
1109	HK	CHINA RES LAND	0.8
1113	HK	CK ASSET	0.8
1114	HK	BRILLIANCE CHI	0.7
1171	HK	YANKUANG ENERGY	0.7
1177	HK	SINO BIOPHARM	0.6
1179	HK	HWORLD-S	0.4
1193	HK	CHINA RES GAS	0.6
1209	HK	CHINA RES MIXC	0.6
1211	HK	BYD COMPANY	0.8
1288	HK	ABC	0.8
1299	HK	AIA	0.8
1378	HK	CHINAHONGQIAO	0.7
1398	HK	ICBC	0.8
1519	HK	J&T EXPRESS-W	0.4
1585	HK	YADEA	0.5
1658	HK	PSBC	0.7
1698	HK	TME-SW	0.5
1801	HK	INNOVENT BIO	0.4
1810	HK	XIAOMI-W	0.8
1821	HK	ESR	0.6
1876	HK	BUD APAC	0.7
1898	HK	CHINA COAL	0.6
1913	HK	PRADA	0.6
1919	HK	COSCO SHIP HOLD	0.6
1928	HK	SANDS CHINA LTD	0.6
1929	HK	CHOW TAI FOOK	0.7
1972	HK	SWIREPROPERTIES	0.7
1997	HK	WHARF REIC	0.7
2015	HK	LI AUTO-W	0.6
2020	HK	ANTA SPORTS	0.8
2057	HK	ZTO EXPRESS-W	0.7
2269	HK	WUXI BIO	0.6
2313	HK	SHENZHOU INTL	0.7
2318	HK	PING AN	0.8
2319	HK	MENGNIU DAIRY	0.8
2328	HK	PICC P&C	0.7
2331	HK	LI NING	0.7
2333	HK	GWMOTOR	0.7
2359	HK	WUXI APPTEC	0.6
2378	HK	PRU	0.6
2380	HK	CHINA POWER	0.6
2382	HK	SUNNY OPTICAL	0.7
2388	HK	BOC HONG KONG	0.8
2423	HK	BEKE-W	0.3
2601	HK	CPIC	0.7
2618	HK	JD LOGISTICS	0.6
2628	HK	CHINA LIFE	0.8
2638	HK	HKELECTRIC-SS	0.8
2669	HK	CHINA OVS PPT	0.6
2688	HK	ENN ENERGY	0.7
2800	HK	TRACKER FUND	0.8
2822	HK	CSOP A50 ETF	0.8
2823	HK	ISHARES A50	0.8
2828	HK	HSCEI ETF	0.8
2839	HK	CAM MSCI A50	0.8
2888	HK	STANCHART	0.7
2899	HK	ZIJIN MINING	0.6
3032	HK	HSTECH ETF	0.7
3033	HK	CSOP HS TECH	0.7
3067	HK	ISHARESHSTECH	0.7
3088	HK	CAM HS TECH	0.7
3188	HK	CAM CSI300	0.8
3311	HK	CHINA STATE CON	0.7
3320	HK	CHINARES PHARMA	0.6
3328	HK	BANKCOMM	0.8
3690	HK	MEITUAN-W	0.8
3692	HK	HANSOH PHARMA	0.5
3800	HK	GCL TECH	0.7
3808	HK	SINOTRUK	0.6
3888	HK	KINGSOFT	0.6
3968	HK	CM BANK	0.8
3988	HK	BANK OF CHINA	0.8
4239	HK	HKGB IBOND 2311	0.97
4246	HK	HKGB IBOND 2406	0.97
4252	HK	HKGB RGB 2505	0.97
4273	HK	HKGB RGB 2610	0.97
6030	HK	CITIC SEC	0.7
6110	HK	TOPSPORTS	0.6
6160	HK	BEIGENE	0.6
6186	HK	CHINA FEIHE	0.5
6618	HK	JD HEALTH	0.7
6690	HK	HAIER SMARTHOME	0.7
6823	HK	HKT-SS	0.7
6862	HK	HAIDILAO	0.6
6969	HK	SMOORE INTL	0.5
9618	HK	JD-SW	0.8
9626	HK	BILIBILI-W	0.6
9633	HK	NONGFU SPRING	0.7
9863	HK	LEAPMOTOR	0.3
9866	HK	NIO-SW	0.6
9868	HK	XPENG-W	0.6
9888	HK	BIDU-SW	0.7
9896	HK	MNSO	0.2
9901	HK	NEW ORIENTAL-S	0.3
9961	HK	TRIP.COM-S	0.7
9987	HK	YUM CHINA	0.6
9988	HK	BABA-W	0.8
9999	HK	NTES-S	0.7
44007	HK	HKGB SBOND 2509	0.97
44025	HK	HKGB SBOND 2312	0.97
44030	HK	HKGB SBOND 2608	0.97
44064	HK	HKGB SBOND 2408	0.97
44070	HK	HKGB SBOND 2710	0.97
80011	HK	HANGSENG BANK-R	0.85
80016	HK	SHK PPT-R	0.8
80020	HK	SENSETIME-WR	0.6
80175	HK	GEELY AUTO-R	0.8
80291	HK	CHINARES BEER-R	0.7
80388	HK	HKEX-R	0.8
80700	HK	TENCENT-R	0.8
80883	HK	CNOOC-R	0.8
80941	HK	CHINA MOBILE-R	0.8
80992	HK	LENOVO GROUP-R	0.7
81024	HK	KUAISHOU-WR	0.6
81211	HK	BYD COMPANY-R	0.8
81299	HK	AIA-R	0.8
81810	HK	XIAOMI-WR	0.8
82020	HK	ANTA SPORTS-R	0.8
82318	HK	PING AN-R	0.8
82331	HK	LI NING-R	0.7
82333	HK	GWMOTOR-R	0.7
82388	HK	BOC HONG KONG-R	0.8
82800	HK	TRACKER FUND-R	0.8
82822	HK	CSOP A50 ETF-R	0.8
82823	HK	ISHARES A50-R	0.8
82828	HK	HSCEI ETF-R	0.8
82839	HK	CAM MSCI A50-R	0.8
83188	HK	CAM CSI300-R	0.8
83690	HK	MEITUAN-WR	0.7
86618	HK	JD HEALTH-R	0.7
89618	HK	JD-SWR	0.8
89888	HK	BIDU-SWR	0.7
89988	HK	BABA-WR	0.8
600000	CN	SHANGHAI PUDONG DEVELOPMENT BANK	0.7
600016	CN	CHINA MINSHENG BANKING	0.5
600028	CN	CHINA PETROLEUM AND CHEMICAL	0.7
600030	CN	CITIC SECURITIES	0.6
600036	CN	CHINA MERCHANTS BANK	0.7
600048	CN	POLY DEVELOPMENTS AND HOLDINGS GROUP	0.5
600104	CN	SAIC MOTOR	0.7
600276	CN	JIANGSU HENGRUI MEDICINE	0.7
600519	CN	KWEICHOW MOUTAI	0.7
600585	CN	ANHUI CONCH CEMENT	0.6
601088	CN	CHINA SHENHUA ENERGY	0.7
601166	CN	INDUSTRIAL BANK	0.7
601288	CN	AGRICULTURAL BANK OF CHINA	0.7
601318	CN	PING AN INSURANCE	0.7
601328	CN	BANK OF COMMUNICATIONS	0.7
601398	CN	INDUSTRIAL AND COMMERCIAL BANK OF CHINA	0.7
601628	CN	CHINA LIFE INSURANCE	0.7
601668	CN	CHINA STATE CONSTRUCTION ENGINEERING	0.7
601857	CN	PETROCHINA	0.7
601988	CN	BANK OF CHINA	0.7

Please refer to footnote 1 and footnote 2.

List of Grade 1 Unit Trust

代號 Code	名稱 Fund Name	按揭比率 Margin Ratio
601028	AB FCP I American Income Portfolio (AA MDis) HKD CASH	0.80
340200	Principal Global Investors Funds-Preferred Securities Fund (A Acc) USD	0.70
380410	JPMorgan Global Government Bond Fund (A Acc) H-USD *	0.70
601052	AB FCP I Short Duration Bond Portfolio (A2 Cap) EUR	0.70
340180	Principal Life Style Fund-Principal Hong Kong Bond Fund (Retail Acc) HKD	0.70
320160	BOCHK Global Bond Fund (A Acc) USD	0.70
601051	AB FCP I Short Duration Bond Portfolio (A2 Cap) H-EUR	0.70
601027	AB FCP I American Income Portfolio (AA MDis) HKD	0.70
380500	JPMorgan Emerging Markets Debt Fund (A Mth) USD CASH	0.70
30680	Allianz US Short Duration High Income Bond Fund (AM MDis) USD	0.70
340190	Principal Global Investors Funds-Preferred Securities Fund (A QInc) USD	0.70
340195	Principal Global Investors Funds-Preferred Securities Fund (A QInc) USD CASH	0.70
601022	AB FCP I American Income Portfolio (A2 Cap) EUR	0.60
601062	AB FCP I Global High Yield Portfolio (A2 Cap) EUR	0.60
601020	AB FCP I American Income Portfolio (A2 Cap) USD	0.60
10290	Aberdeen Standard SICAV I Select Euro High Yield Bond Fund (A Acc) Hedged USD	0.60
40060	First Sentier Asian Quality Bond Fund (I Acc) USD	0.60
601060	AB FCP I Global High Yield Portfolio (A2 Cap) USD	0.60
10150	Aberdeen Standard SICAV I Select Emerging Markets Bond Fund (A Acc) USD	0.60
601021	AB FCP I American Income Portfolio (A2 Cap) H-EUR	0.60
10100	Aberdeen Standard SICAV I Select Euro High Yield Bond Fund (A Acc) EUR	0.60
601061	AB FCP I Global High Yield Portfolio (A2 Cap) H-EUR	0.60
30520	Allianz US High Yield Fund (AT Acc) HKD	0.60
10040	Aberdeen Standard SICAV I Asian Local Currency Short Term Bond Fund (A Acc) USD	0.60
50031	Franklin Floating Rate Fund Plc (A Acc) USD	0.60
30650	Allianz Dynamic Asian High Yield Bond Fund (AMg MDis) USD	0.60
30655	Allianz Dynamic Asian High Yield Bond Fund (AMg MDis) USD CASH	0.60
30640	Allianz Dynamic Asian High Yield Bond Fund (AMg MDis) HKD	0.60
30645	Allianz Dynamic Asian High Yield Bond Fund (AMg MDis) HKD CASH	0.60
30590	Allianz Preferred Securities and Income (AM MDis) H2-RMB CASH	0.60
30630	Allianz Preferred Securities and Income (AM Mdis) H2-RMB	0.60
30430	Allianz US High Yield Fund (AM MDis) HKD	0.60
30435	Allianz US High Yield Fund (AM MDis) HKD CASH	0.60
30445	Allianz US High Yield Fund (AM MDis) USD	0.60
210130	Barings Developed and Emerging Markets High Yield Bond Fund (A QInc) USD	0.60
380520	JPMorgan Global High Yield Bond Fund (A Mth) USD	0.60
30670	Allianz US High Yield Fund (AM MDis) H2-CAD	0.60
30440	Allianz US High Yield Fund (AM MDis) H2-AUD	0.60
50030	Franklin Floating Rate Fund Plc (A MDis) USD	0.60
50050	Franklin High Yield Fund (A MDis) USD	0.60
50055	Franklin High Yield Fund (A MDis) USD CASH	0.60
601025	AB FCP I American Income Portfolio (AT MDis) HKD	0.60
601026	AB FCP I American Income Portfolio (AT MDis) HKD CASH	0.60
601023	AB FCP I American Income Portfolio (AT MDis) USD	0.60
601024	AB FCP I American Income Portfolio (AT MDis) USD CASH	0.60
30460	Allianz Flexi Asia Bond Fund (AM MDis) USD	0.60
30465	Allianz Flexi Asia Bond Fund (AM MDis) HKD	0.60
390010	Ping An of China SIF-RMB Bond Fund (A HYInc) RMB	0.60
390015	Ping An of China SIF-RMB Bond Fund (A HYInc) RMB CASH	0.60
380530	JPMorgan Emerging Markets Investment Grade Bond (A Mth) USD	0.60
380535	JPMorgan Emerging Markets Investment Grade Bond (A Mth) USD CASH	0.60
10140	Aberdeen Standard SICAV I Select Emerging Markets Bond Fund (A MInc) USD	0.60

Footnote 1: The above grade-based interest rate will be based on the effective rate which is subject to the latest Hong Kong Dollar Prime (P) rate of Standard Chartered Bank.

Footnote 2:：The flat interest rate for non grade-based margin account is P(HKD Prime rate of Standard Chartered Bank) + 3%。

FAQ

1. What is Grade-based margin interest plan?

Please refer to the introduction page of Grade-based Margin Interest Plan.
The grade- based margin interest rate is adjusted and based on the Prime Rate of Standard Chartered Bank from time to time. For CNY and USD Margin Interest, please click here

2. How to apply Grade-based margin interest plan instead of standard rate margin financing

Grade-based margin interest plan applies to all new margin accounts. Existing margin clients could apply the plan through their account executives or Customer Service Department, and do confirmation via POEMS pop-message after the application is approved.

3. How to apply Grade-based margin interest plan instead of standard rate margin financing?

4. How does a client know that the application of Grade-based margin interest plan is approved?

Client will receive confirmation pop-up message while log in in online trading platform POEMS if their application of Grade-based margin interest plan is approved. Please contact Customer Service Department if there is no confirmation.

5. How to check Grade 1 stock list?

Please check Grade 1 Stock list in POEMS website and it would be updated from time to time.

6. How to presume accrual interest before choosing any margin financing plan?

Please check accrual interest with your portfolio details by utilizing the calculator provided.

7. If the stock held by the client is suspended, how would the stock value be calculated?

If the stock is suspended, the stock will have no market value. There would be a margin call for deposit.

8. If outstanding excess loan limit, is there any margin call?

No, margin call would occur only if outstanding excess margin value.

9.What kind of client is suitable for Grade-based margin interest plan ？

The plan is suitable for client holding blue-chips portfolio and one's Phillip account with no margin call.

10. Do both parties of joint account need to sign on opt-in form for joining Grade-based margin interest plan?

Yes, both parties of joint account need to sign on opt-in form for joining Grade-based margin interest plan.

11. Could authorized person represent their own client to sign opt-in form to go for Grade-based margin interest plan?

No, the opt-in form must be signed by client.

12. Would Grade-based margin interest plan affect the purchase power of client?

No.

13. How to check the blend interest rate of one's account on the day?

Interest rate would be shown in the end of the month in monthly e-statement.

14. What rate of overdraft (Financing without margin value) is under the Graded-based Margin Interest Plan?

14.625% (P+8.5%)
Footnote 1: The above grade-based interest rate will be based on the effective rate which is subject to the latest Hong Kong Dollar Prime (P) rate of Standard Chartered Bank.
Footnote 2: The flat interest rate for non grade-based margin account is P(HKD Prime rate of Standard Chartered Bank) + 3%.

Footnote 1: The above grade-based interest rate will be based on the effective rate which is subject to the latest Hong Kong Dollar Prime (P) rate of Standard Chartered Bank.

Footnote 2:：The flat interest rate for non grade-based margin account is P(HKD Prime rate of Standard Chartered Bank) + 3%。

Grade 1 Stock List

List of Grade 1 Unit Trust

1. What is Grade-based margin interest plan?

2. How to apply Grade-based margin interest plan instead of standard rate margin financing

3. How to apply Grade-based margin interest plan instead of standard rate margin financing?

4. How does a client know that the application of Grade-based margin interest plan is approved?

5. How to check Grade 1 stock list?

6. How to presume accrual interest before choosing any margin financing plan?

7. If the stock held by the client is suspended, how would the stock value be calculated?

8. If outstanding excess loan limit, is there any margin call?

9.What kind of client is suitable for Grade-based margin interest plan ？

10. Do both parties of joint account need to sign on opt-in form for joining Grade-based margin interest plan?

11. Could authorized person represent their own client to sign opt-in form to go for Grade-based margin interest plan?

12. Would Grade-based margin interest plan affect the purchase power of client?

13. How to check the blend interest rate of one's account on the day?

14. What rate of overdraft (Financing without margin value) is under the Graded-based Margin Interest Plan?

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