Margin Eligible Securities

Although a lot of securities can be bought on margin, some securities available through ShareBuilder are not. You can see if a stock is marginable by looking at the stock quote—under “Key Elements” which will indicate if it is a marginable security. ShareBuilder applies its own criteria that meets or exceeds the Federal Reserve Board in determining which securities can be bought on margin. Penny stocks, IPOs, extremely volatile stocks, and options are examples of securities that cannot be bought on margin.

Important: Buying securities on margin is not appropriate for all investors. Before investing on margin, please read the Margin Account Agreement for important risk disclosure information, and see ShareBuilder's margin interest rates.