Trading Restrictions

This page lets institution account master users set the following types of trading restrictions:

• Net Margin: Restrict the entire account structure from making any trade that would result in the account's Excess Liquidity or Margin Cushion falling below a specified threshold.
• Net Portfolio: Restrict the entire account structure from making any trade that would cause the net amount of all positions in the account to exceed an amount or percent threshold.
• Liquidation/Closing-only: Restrict the entire account structure to liquidation or position-closing trades only.
• Concentration Restrictions By Symbol: Restrict a selected client/sub/fund account from making any trade that would cause the position concentration in specific symbols in the account to exceed an amount or percent threshold.
• Restricted Security Types: Restrict the entire account structure from trading specific security types, including bills, bonds, commodities, CFDs, forex, forward contracts, futures, futures options, mutual funds, options, stocks, structured products (IOPT) and warrants.
• Restricted Product Categories: Restrict the entire account structure from trading specific product categories.
• Restricted Hours: Restrict a selected client/sub/fund account from trading during specific hours.
• Restriction By Symbol: Restrict a selected client/sub/fund account from trading specific symbols. When you add a trading restrictions for a stock symbol, all derivatives of that stock will also be restricted, including options, futures, and so on. The page also displays all current symbols that the selected client/sub/fund account is restricted from trading.

All restriction types allow Time-in-Force (TIF) settings to apply the restriction to a specific date range.

The following rules apply to trading restrictions:

• Trading restrictions can be applied by a master account user to an entire account family (master account and all client/sub/fund accounts) or to only the master account on the Manage Account > Trade Configuration > Restrictions page.
• Trading restrictions can applied to specific client/sub/fund accounts on the .Manage Clients/Funds/Traders > Trading > Restrictions > Accounts page.
• Trading restrictions can applied to specific users for the active account on the .Manage Clients/Funds/Traders > Trading > Restrictions > Users page.
• Client/sub/fund account users cannot set trading restrictions.
• When restrictions are applied to an entire account family, client/sub/fund accounts inherit the restrictions.
• Inherited restrictions cannot be deleted at the client/sub/fund account level but can be overridden by the master account user.
• Existing restrictions set individually for an account override the account family restrictions.
• Trading restrictions can be applied to specific client/sub/fund accounts to override restrictions inherited from account family restrictions.
• Overridden restrictions can be deleted but will be replaced by restrictions inherited from account family restrictions.
• Master account users can delete restrictions at the master account level.
• Restrictions set by our operators can only be modified or deleted by the operator.

1. Click the User menu (head and shoulders icon in the top right corner) > Settings > Client Settings > Trading Restrictions.Click the Net Margin section heading to expand the section, and then click the check box next to Net Margin to enable the restriction.
2. Select a metric (Excess Liquidity or Margin Cushion) and a currency.
3. Enter the threshold value for the selected metric. Remember, any trade that would result in the selected metric falling below the specific threshold value will be rejected.
4. Select a Time-in-Force (Good-til-Canceled or Good-til-Date). If you select Good-til-Date, also enter the starting and ending date of the time period during which you want the restriction to apply.
5. Click Save Changes.

For this trading restriction, we calculate the net amount of all positions in your portfolio. You can apply this restriction to long positions and/or short positions in your portfolio. When you set an amount restriction, any orders that cause the net amount of all of your positions to exceed the specified threshold will be rejected. When you set a percent restriction, any orders that cause the percentage of the net amount of all of your positions to exceed the specified threshold will be rejected. For more information, see Net Portfolio and Concentration By Symbol Restrictions.

1. Click the User menu (head and shoulders icon in the top right corner) > Settings > Client Settings > Trading Restrictions. Click the Net Portfolio Restrictions section heading to expand the section, and then click the check box next to Net Long and/or Net Short to enable the restriction for long and/or short positions in your portfolio.
2. Select a metric (Amount or Percent) and a currency.
3. Enter the threshold value for the selected metric. Remember, any trade that would result in the net amount of all long and/or short positions exceeding the specific threshold value will be rejected.
4. Select a Time-in-Force (Good-til-Canceled or Good-til-Date). If you select Good-til-Date, also enter the starting and ending date of the time period during which you want the restriction to apply.
5. Click Save Changes.

1. Click the User menu (head and shoulders icon in the top right corner) > Settings > Client Settings > Trading Restrictions. Click the Liquidation/Closing-only section heading to expand the section, and then click the check box next to Liquidation/Closing-only to enable the restriction..
2. Select a Time-in-Force (Good-til-Canceled or Good-til-Date). If you select Good-til-Date, also enter the starting and ending date of the time period during which you want the restriction to apply.
3. Click Save Changes.

For this trading restriction, we calculate the net amount of all positions in your portfolio. You can apply this restriction to long positions and/or short positions in your portfolio.When you set an amount or percent Concentration Restriction By Symbol, any orders that cause the amount or percentage of position concentration of the selected symbols to exceed the specified threshold will be rejected. For more information, see Net Portfolio and Concentration By Symbol Restrictions.

1. Click the User menu (head and shoulders icon in the top right corner) > Settings > Client Settings > Trading Restrictions.Click the Concentration Restrictions By Symbol section heading to expand the section.
2. Enter the symbol you want to restrict in the Symbol field, then click Submit Query. The Add or Edit Restrictions page appears, and displays available stocks and bonds for the symbol you entered.
3. Click the Concentration Restrictions By Symbol section heading to expand the section. If you have any current restrictions on specific symbols, they are displayed in this section.
4. Enter the symbol you want to restrict in the Symbol field, then click Submit Query. The Add or Edit Restrictions page appears, and displays available stocks and bonds for the symbol you entered.

   The following figure shows an example of the Add or Edit Restrictions page. In this example, a master account user entered the symbol IBM on the Trading Restrictions page.

5. Select the radio button next to each asset type you want to restrict. If you select the stock, all derivatives of that stock will also be restricted, including options and futures.
6. Click Submit to activate the trading restriction for the selected symbol.
7. In the Concentration Restrictions By Symbol section, do the following for each symbol:
   1. Select the check box for LONG and/or SHORT.
   2. Select a metric (Amount or Percent) and a currency.
   3. Enter the threshold value for the selected metric. Remember, any trade that would result in the net amount of the long and/or short position in the selected symbol exceeding the specific threshold value will be rejected.
   4. Select a Time-in-Force (Good-til-Canceled or Good-til-Date). If you select Good-til-Date, also enter the starting and ending date of the time period during which you want the restriction to apply.
8. Click Save Changes.

1. Click the User menu (head and shoulders icon in the top right corner) > Settings > Client Settings > Trading Restrictions. Click the Restricted Security types section heading to expand the section.

   Any current restrictions are displayed.

2. From the Add new drop-down, select the security type for which you want to restrict trading.

   The security type is added to the list of Restricted Security Types.

3. Enable the restriction by clicking the check box on the left side of the row.
4. Select a Time-in-Force (Good-til-Canceled or Good-til-Date). If you select Good-til-Date, also enter the starting and ending date of the time period during which you want the restriction to apply.
5. Add new security type restrictions using the Add new drop-down.
6. Click Save Changes.

1. Click the User menu (head and shoulders icon in the top right corner) > Settings > Client Settings > Trading Restrictions. Click the Restricted Product Categories section heading to expand the section.

   Any current restrictions are displayed.

2. From the Add new drop-down, select the security type for which you want to restrict trading.

   The security type is added to the list of Restricted Security Types.

   Enable the restriction by clicking the check box on the left side of the row.

3. Select a Time-in-Force (Good-til-Canceled or Good-til-Date). If you select Good-til-Date, also enter the starting and ending date of the time period during which you want the restriction to apply.
4. Add new security type restrictions using the Add new drop-down.
5. Click Save Changes.

1. Click the User menu (head and shoulders icon in the top right corner) > Settings > Client Settings > Trading Restrictions. Click the Restricted Hours section heading to expand the section, and then click the check box next to Hours to enable the restriction.
2. Select your time zone.
3. Enter the start and end times of the period during which you want to restrict the client/sub/fund account's trading. Orders placed from the account during the hours indicated will be rejected.
4. Select a Time-in-Force (Good-til-Canceled or Good-til-Date). If you select Good-til-Date, also enter the starting and ending date of the time period during which you want the restriction to apply.
5. Click Save Changes.

1. Click the User menu (head and shoulders icon in the top right corner) > Settings > Client Settings > Trading Restrictions. Click the Restrictions By Symbol section heading to expand the section. If you have any current restrictions on specific symbols, they are displayed in this section.
2. Enter the symbol you want to restrict in the Symbol field, then click Submit Query. The Add or Edit Restrictions page appears, and displays available stocks and bonds for the symbol you entered.

   The following figure shows an example of the Add or Edit Restrictions page. In this example, a master account user entered the symbol IBM on the Trading Restrictions page.

3. Select the check box next to each asset type you want to restrict. If you select the stock, all derivatives of that stock will also be restricted, including options and futures.
4. In the TIF list, select the Time in Force for the restriction. Select GTC (Good-Til-Canceled) or GTD (Good-Til-Date. If you select GTD (Good-Til-Date), you must also enter the beginning and ending dates for the restriction. Employees will be restricted from trading the selected symbol and assets for the dates you enter.
5. Click Submit to activate the trading restriction, which will be added to the list of existing restrictions displayed on the Trading Restrictions page.
6. In the Restrictions By Symbol section, click the plus + sign next to a symbol in the list of current restrictions to display all issuer names associated with that symbol.

To edit an existing Net Margin, Net Portfolio, Liquidation/Closing-only, Concentration By Symbol or Hours restriction, .simply modify the details of the restriction in the appropriate section, and then click Save Changes.

To edit an existing Symbol restriction, enter the symbol in the Symbol field and click Submit just as you would if adding a new symbol restriction. Modify any of the restriction information on the Add or Edit Restrictions page, then click Submit. The modified restriction will appear in the Current Restrictions list. Click the plus + sign to view the details of any symbol restriction.

• To remove all current trading restrictions from all client/sub accounts and apply them only to the master account, click the Remove From Family button at the top of the page.

• To restore all current trading restrictions to apply to the entire account family, click the Apply To Family button at the top of the page.

• To remove an existing Net Margin, Net Portfolio, Liquidation/Closing-only, Concentration By Symbol or Hours restriction, deselect the restriction in the appropriate section (select the check box so that it appears unchecked), and then click Save Changes.

• To remove an existing Symbol restriction, you must delete it from the Trading Restrictions page. In the Current Restrictions list, select the check box to uncheck the restriction you want to remove, and then click Save Changes.

Remember the following rules:

• Inherited restrictions cannot be deleted at the client/sub account level but can be overridden by the master account user on the Settings > Client Settings > Trading Restrictions page.
• Overridden restrictions can be deleted but will be replaced by inherited restrictions.
• Master account users can delete restrictions at the master account level.
• Restrictions set by our operators can only be modified or deleted by the operator.