A securities company shall determine and adjust the upper limit of the pledge rate of the underlying securities according to the qualification of the underlying securities, the credit standing of the merging party, the repurchase period, the third-party guarantee and other factors. The pledge rate refers to the ratio of the initial transaction amount to the market value of the pledged securities.

(Huatai Securities) The benchmark pledge rate of various underlying securities (tradable shares) is 55% for main board stocks, 50% for small and medium-sized board stocks, 75% for GEM bonds, 70% for local bonds, 65% for corporate bonds, corporate bonds and convertible bonds, 60% for convertible corporate bonds, 60% for ordinary closed-end funds and innovative closed-end funds, and 60% for open-end funds that can be traded on exchanges such as ETFs and LOFs.