The following terms have the meaning set out below when used in Part A of Rule 4300:
Securities in segregation for a Dealer Member’s clients that are not reserved for particular clients.
“net loan value”
Of a security means:
- for a long position, the market value of the security less any margin required,
- for a short position, the market value of the security plus any margin required expressed as a negative number, and
- for a short security option position, the market value of the option plus any margin required expressed as a negative number.
“qualifying hedge position”
For all the accounts of each client:
- a long position in a security, and,
- a short position in a security issued or guaranteed by the same issuer of the security in clause (i) of this definition,
- the long position is convertible to or exchangeable for securities of the same class and number of the securities held in the short position, and
- the Dealer Member is using the long position as collateral to cover the short position.
Securities held in segregation by a Dealer Member for a client.