A customer who operates a margin financing account with a Trading Member (such account being an account carried on the books of the Trading Member) shall authorise the Trading Member to mortgage, pledge or hypothecate the customer's securities or property for a sum not exceeding the debit balance in the margin financing account and without obligation to retain in its possession or control securities of like character. The Trading Member shall also be given the discretion to sell or dispose of any or all the securities in any manner in order to meet with the prescribed margin financing requirements.

Amended on 23 January 200923 January 2009 and 1 July 20161 July 2016.