Multi-asset investment specialist Saxo Bank will shortly introduce a new control mechanism that prevents the sale of positions, which are requested to be transferred out to another provider.

Positions that are “reserved” during the transfer out process will now be blocked and cannot be sold, to ensure that the position is available once the transfer process is finalized. In a similar way as known from “reserved” positions due to an ongoing Corporate Action event, the positions will be marked with a small “padlock” symbol to indicate that they are reserved.

It is important to note that any collateral value provided by the instrument to support margin trading is lost immediately when the transfer is requested and the position is blocked. It is therefore critical to ensure that, at the time of requesting a transfer, clients have enough cash/collateral to support their margin positions – even if the transferring positions do not exist.