Trust Securities DMCC accepts Bank Guarantees to fund your trading account and ensures a high level of fund protection. We understand that, as a fund manager, money manager or corporate client, you may wish to keep your funds with your preferred bank in order to access them immediately when required.

Bank guarantees from AA-rated banks are accepted as margin commitments against margins requirements. However, a bank guarantee can be used for margin purposes only; any obligation which arises from volatility and calculated on mark-to-market needs to be fulfilled as required by the exchange clearing house on a daily basis. All clients must ensure that adequate funds are available in their trading accounts to ensure smooth trading operations and to avoid adverse market scenarios.

Bank guarantees can be issued for several accounts provided these are held in the same name as that which the bank guarantee has been issued in. A balanced ratio of 40% cash and 60% bank guarantee is recommended. A bank guarantee solution may be offered to clients on the basis of various factors such as banking approval, credit risk rating and the provision of a solid business plan.