The Maintenance Margin Ratio (MMR) is your Available Funds divided by the Maintenance Margin Requirement:
Maintenance Margin Ratio = Available Funds/Maintenance Margin Requirement
Maintenance Margin Ratio controls how much leverage you can take in an active Margin+ agreement.
A lower ratio means you have less available funds to cover the MMR tied to your open positions – meaning you are more leveraged. On the other hand, a higher ratio means you have more available funds to cover the MMR and hence are less leveraged.
Where can I see my Maintenance Margin Ratio?
You can view your Maintenance Margin Ratio on your Margin+ page:
What are the requirements for Maintenance Margin Ratio?
When applying for Margin+
You must have a Maintenance Margin Ratio of 12 or above for BitMEX to process the funds’ drawdown. This protects Margin+ users from hitting margin call shortly after their drawdown.
After your Margin+ is activated
Once you're enrolled in Margin+, you must ensure your Maintenance Margin Ratio remains above 10. A Margin Call will occur if your Maintenance Margin Ratio remains below 10 for 12 hours or immediately after the ratio drops below 5.
Example
Let’s say you have two open positions: a long position on the XBTUSDT contract and a long position on the ETHUSDT contract.
- You hold a long position of 0.1 XBT on XBTUSDT (isolated 5x) at 45,000. The maintenance margin requirement for this is 10%, which is 450 USDT.
- You hold a long position of 1 ETH on ETHUSDT (isolated 10x) at 2,300. The maintenance margin requirement for this is 5%, which is 115 USDT.
- You have 5,000 USDT as Margin Balance. Your Maintenance Margin Ratio is calculated as: Margin Balance/(XBTUSDT Margin Requirement + ETHUSDT Margin Requirement) = 5,000/(450+115).
- Your Maintenance Margin Ratio is 8.8, which is below the requirement, meaning you will be in Margin Call.
How can I improve my Maintenance Margin Ratio?
You can improve the ratio by:
- Closing positions
- Cancelling orders
- Or topping up your account with more funds