5222. Bank paper not in default

The minimum Dealer Member inventory margin and client margin requirements for bank paper not in default are as follows:

Term to maturity	Minimum margin required as a percentage of market value
Term to maturity	Category (i) Bank acceptances, deposit certificates, promissory notes and debentures issued by a Canadian chartered bank	Category (ii) Bank acceptances, deposit certificates, promissory notes issued by a foreign bank with a net worth (capital + reserves) of not less than $200 million	Category (iii) Canadian and foreign category (i) and (ii) issues and obligations with a market value of 50% or less of par value and with a low current credit rating
Within 1 year	2.00% x number of days to maturity 365		50.00%
Over 1 to 3 years	6.00%
Over 3 to 7 years	7.00%
Over 7 to 11 years	10.00%
Over 11 years	10.00%

Guidance/Notices

There is no history log for this rule.

Disciplinary History

There is no history log for this rule.

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5201. Introduction

5210. Government issued or guaranteed bonds, debentures, treasury bills, notes and certain other non-commercial securities not in default

5211. Government residual debt and stripped coupons not in default

5212. Government floating rate debt obligations

5213. Government mortgage-backed securities

5214. Other non-commercial issuers not qualifying under sections 5210 through 5212

5220. Commercial and corporate bonds, debentures, notes and other securities not in default

5221. Convertible commercial and corporate bonds, debentures, notes and other securities not in default

5223. Commercial residual debt and stripped coupons not in default

5224. Convertible commercial residual debt not in default

5225. Commercial and corporate floating rate debt obligations not in default

5226. Commercial and corporate income bonds not in default

5227. Commercial and corporate mortgage-backed securities

5230. Debt securities in default

5240. Circumstances under which debt margin surcharge is imposed

5241. Determining debt margin surcharge

5250. Mortgages