Non-margin buying power is the maximum dollar amount available in your brokerage account to purchase , which are assets that require 100% of their purchase price to be funded upfront. Unlike standard "buying power," which often includes leverage to buy more than you have in cash, this balance identifies what you can spend on high-risk or volatile assets that cannot be used as collateral. Key Characteristics
: While it is used for "non-marginable" assets, using this balance in a margin account can still trigger a margin loan. This happens if you leverage the loan value of other holdings to buy these assets, resulting in margin interest charges.
: The total amount available to buy marginable assets (like standard blue-chip stocks), which usually includes up to 2:1 leverage.
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: Specifically used for securities with a 100% margin requirement , meaning you cannot borrow against them.
: Derivatives often require full cash funding due to their complexity.