Margin lending lets you access funds from your portfolio without selling your asset. Choose the model that best aligns with your strategy.
Overdraft is a margin facility product that grants you to overdraw the investment account with an agreed predefined buying power.
You’ll need to maintain a coverage ratio, and a monthly fee applies. Repayment is only required if the agreement ends without renewal.
Murabaha is a Shariah-compliant sale, not an interest-based loan. ICAP purchases the securities and resells them to you at cost plus a pre-agreed profit, based on your instructions. You repay the full amount on maturity (cost and profit) in one lump sum.
Murabaha is available exclusively for portfolios focused on the Saudi market.
The approved loan can be utilized partially or in full as you need.
A minimum coverage of 200% must be maintained.
Limits are based on pre-defined criteria and guidelines.
Margin trading carries high risk. Understand your repayment terms, collateral requirements, and risk of loss before you begin.
Margin lending increases your buying power, enabling you to pursue new opportunities without liquidating your existing investments.
Murabaha is a Shariah-compliant financing method where ICAP buys an asset and resells it to the client at a known profit, payable at maturity. In contrast, conventional overdrafts accrue interest daily on the borrowed amount, typically billed monthly.
If your portfolio value drops below the required level, you may get a margin call. This means you’ll need to add cash or assets to your account. If you don’t act in time, your holdings might be sold to cover the shortfall, possibly at a loss.
Securities are approved if they are listed and pass Alistithmar Capital’s multi-factor evaluation, including balance sheet quality, trading activity, and price fluctuation patterns.
With margin lending, you could lose more than you invest. If your investments drop in value, you might need to add more money or risk having your assets sold at a loss.
