Cross Collateral liquidation process is triggered when any of the following occur:
- Margin Assets Value (MAV) <=0
- Negative Balances are enabled but the maximum Negative Balance limit has been reached
- Negative Balances are disabled but a negative balance is created (funding, fees, realised P&L)
Note that for MAV <= 0, then MAV < Margin Maintenance Limit (MML) will also hold true and the liquidation of derivatives positions may also need to occur.
Liquidation Fees
Any orders executed as part of Cross Collateral liquidation are charged a Cross Collateral Liquidation Fee of 0.5%. This is inclusive of any trading fees.