UBS’s FCM allocates record-low own funds relative to client margin
Residual interest equivalent to just 1.9% of customer contributions for futures and options in November
In November, UBS Securities reported the lowest targeted residual interest (TRI) – the minimum amount of own funds futures commission merchants (FCMs) commit to have on hand to support client requirements – relative to its required customer funds on record.
The Swiss bank’s US brokerage arm held $8 billion in required margin for futures and options, marking a 10.2% increase from the previous month and the highest level since May 2020.
Despite this, the firm’s TRI remained flat at $150 million
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