Sino Agro Food Inc (fka SIAF)

[viking86]

Yes I suspect you are right although the practice is not quite logical. I have noticed for example that when a non marginable stock like Siaf has declined appreciably ( like in past 1-2 week) compared to all my other holdings in a margin account be it with ETrade or another firm, the cash balance available for withdrawals of the account is not much affected. But when the same thing happens with a marginable stock the cash balance is immediately affected which may lead to margin calls. Which makes sense bc the cash portion (the value that you actually own of that stock vs the margin money you borrowed from the broker to buy it) has shrunk appreciably against the margin balance you owe. In one of my accounts for example Siaf accounts for over 75% of the account value. Although Siaf has lost about 30% of value while my other stocks in the account have remained mostly unchanged over the past few weeks the account cash balance (available for withdrawals) have remained unchanged, to my big relief . This lead me to think what right does the broker have to lend or sell shares that I bought with my own cash in the margin account? He has no right imo.