I am totally new to stock and their trading. I have questions when I was trying to understand an account at a brokerage company:

Account 12345678(Margin)
Net Liq Value   $23,416.36 
Buying Power - Stock    $27,064.61
Buying Power - Option  $13,532.30
Cash Balance    $3,648.25
Unsettled Cash  $0.00 

I was wondering

  1. what are the meanings of Net Liq Value and Cash Balance?
  2. What are the meanings of Buying Power - Stock, Buying Power - Option, and Unsettled Cash?
  3. How much money does the account have currently?

Thanks and regards!


Here you go:

  • Net Liq Value is the value of the account, if you liquidated all positions right now.
  • Cash balance is the value of your cash or money market holdings.
  • Stock buying power is the amount of marginable securities that you can buy now.
  • Options buying power is the amount of unmarginable securities that you can buy now. You cannot buy options on margin.
  • Unsettled cash is the expected proceeds of a sale that is still pending. Some brokers let you use unsettled cash like cash at your own risk.

I'll leave the last question as an exercise to the reader.

| improve this answer | |
  • 1
    Thanks! Is the total money in the account Net Liq Value, or Net Liq Value + Cash balance? – Tim Apr 16 '11 at 21:50
  • Net Liq includes cash. – AndrewS Jul 12 '13 at 20:52

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.