What is the Risk Limit?
Risk Limit means, in relation to an Investor’s Prime Facility, a limit placed by Macquarie on the Utilised Risk Limit of the Investor. Utilised Risk Limit means an amount calculated as follows; • the sum of the Values for all Long Positions and Orders for Long Positions in the Facility (expressed as a positive number); plus • the sum of the Values for all Short positions and Orders for Short position in the Facility (also expressed as a positive number); plus • the sum of the CFD Face Values of CFD Orders and CFDs held within the Facility; less • the Net Equity of the investor’s Prime Facility However, we have discretion to determine that your Utilised Risk Limit is a lower amount than calculated above. If you do not utilise a Risk Limit for an extended period, we may reduce this limit. Superannuation funds are given a zero risk limit automatically.
