Initial Requirement |
Maintenance Requirement |
|
| Less than one year to maturity |
2% |
1% |
| One year but less than three |
4% |
2% |
| Three years but less than five |
6% |
3% |
| Five years but less than ten |
8% |
4% |
| Ten years but less than twenty |
10% |
5% |
| Twenty years or more |
12% |
6% |
The percentage is computed on the current market value (CMV).
Zero coupon bonds (type 75) with five years or more to maturity shall maintain not less than 3% of principal (face amount) with a $5.00 minimum per bond.
Initial Requirement |
Maintenance Requirement |
|
| Non-Convertible Bonds Minimum 7% of principal |
30% |
25% |
| Convertible Bonds |
50% |
30% |
| OTC Non-Convertible Bonds Minimum 7% of principal |
30% |
25% |
| OTC Convertible |
50% |
30% |
| Corporate bonds selling below $50.00 or below BBB rating |
NOT ALLOWED |
NOT ALLOWED |
Initial Requirement |
Maintenance Requirement |
|
| Muni Bonds / G.O.S. Minimum 7% of principal |
25% |
20% |
| Muni Bonds / REVS Minimum 7% of principal |
35% |
30% |
| Muni bonds selling below $50.00 or below BBB rating |
NOT ALLOWED |
NOT ALLOWED |