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Margin Lending

Riyad Capital enables you to obtain financing facilities for trading in the Saudi stock market to help you double the purchasing power of your portfolio and take advantage of investment opportunities in exchange for guarantees (cash / shares) provided by the investor.

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Margin Lending

Margin Financing (Murabaha)

Financing up to 1:1 through an annual contract to help you double the purchasing power of your portfolio and take advantage of investment opportunities in exchange for guarantees (cash / shares) provided by the investor
 

Margin Financing (Monthly)

Financing up to 1:1 through a monthly contract will helping you double the purchasing power of your portfolio and take advantage of investment opportunities

Margin Financing (Daily)

Free financing up to 1:1 through a Monthly contract to help you double the purchasing power of your portfolio by getting margin financing on a daily basis and take advantage of investment opportunities in exchange for guarantees provided by the investor
 

Example of trading with and without margin financing

 

An investor uses margin financing to increase his/her purchasing power in an effort to improve returns on his/her investments. The investor expects a rise in the price of the stock he wants to buy on margin, thus increasing profits by increasing the purchasing power gained from financing

 
 

Example:

Margin Lending

Without Financing With Financing
Investment amount 10,000 Riyal 10,000 Riyal
In case of margin financing With a value equal to the invested amount. 0 10,000 Riyal
Price of stock 100Riyal 100Riyal
Number of shares to be bought 100 200
Total securities value 10,000 20,000
if the stock increases to 130 & perform sale
Selling value 13,000 26,000
Profit value 13,000-10,000=3000 26,000-20,000=6000
Return on investment 3000/10000=30% 6000/10000=60%
*Fees and commission are not charged
 

To get the product, visit the nearest investment center of Riyad capital or Riyad Bank branch and fill in the product request form, for more information, visit our website (riyadcapital.com) or call the following number 920012299



Riyad Capital is a Saudi Closed Joint Stock Company with Paid up capital of SR 500 million, licensed by the Saudi Arabian Capital Market Authority NO.07070-37. Commercial Registration No: 1010239234. Head Office: Granada Business Park 2414 Al-Shohda Dist. – Unit No 69, Riyadh 13241 - 7279 Saudi Arabia.The value of the security is subject to continuous changes and can be subject to sudden and significant decline. In addition, it can be stopped or canceled in the financial market and/or from the list of companies accepted for trading. This may result in a loss equal to the amount invested, and the loss of the investor may not be limited to the full amount invested or deposited in the first place and may have to pay more. The value of the security may vary depending on the weight previously assessed, and the resulting positions must be covered by the investor to pay the difference. Service charges and fees apply to the product in accordance to the Terms and Conditions of the product. This product is highly risky and may not be suitable for all persons. Therefore, the investor is required to review the product Terms and Conditions and obtain appropriate legal, tax and financial advice before making any decision on dealing with it.Riyad Capital Company conducts activities in the field of financial and investment brokerage, and it is possible to provide investment services or have provided in advance during the past 12 months to one of the companies that deal with securities,Riyad Capital or its employees or one or more of its affiliates or customers may have a financial interest in the relevant securities.

Benefits

 

  • Diverse products (Daily, Monthly, Annual) sharia complaint
  • Competitive prices and commissions
  • No administrative fees
  • Possibility to increase your returns by increasing your purchasing power 
  • Free live prices     
  • More flexibility in selecting companies based on the list of companies
  • Daily reports of TASI market and companies
  • Possibility of obtaining more than one contract at the same time
  • Possibility of early termination for annual contract based on the Terms and Conditions
  • Margin contract with automatic renewal*
  • Apply to get the product through Riyad Capital Online, and getting immediately
  • Variety and easiness of trading channels that can be used (Riyad Tadawul Mobile app, Riyad Capital Online, Riyad Capital Interactive Phone and Riyad Capital Investment Centers)

*For daily and monthly margin

Eligibility

To get the product through Riyad Capital Online  Steps to order the product, or visit the nearest investment center of Riyad Capital or Riyad Bank branch and fill in the product request form, and Completion of Suitability Form for more information, visit our website (riyadcapital.com) or call the following number 920012299

Apply Now

You can order the product immediately by visiting our website. Steps to order the product.
Please click here to fill in the form and our team will contact you.

Frequently Asked Questions

What is the benefit of Margin Lending?
How does Margin Lending work?
What is the call point and when is the partial or total liquidation of the portfolio?
How to calculate the value of the portfolio at inception and the value of the daily portfolio?
What is a Maintenance Margin?
How to open a Margin Lending account?
What is the interest rate?
How to pay the financing and interest rate to Riyad Capital?
Can I transfer shares Outside the margin financing portfolio?
How can I know the method of calculating the Daily Profit Rate for the daily margin?

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