Monex Group Launches US Stock Margin Trading In Japan

Monex Group, a renowned online services provider, announced its plans to provide new margin account services for US-based equities. According to the company’s release, the accessibility to the new trading security will be made available from 23 January 2023.

In collaboration with its subsidiary in the United States, the broker offers Wall Street stock trading services which are less available in Japanese investment firms. This implies that the clients can place their trading during extended session hours and unbound real-time stock pricing.

The idea to actualize the provision of a US equity margin account has been delayed by system faults. However, the technical team has attended to the error and assured a smooth program run in the coming week.

“With US equity margin trading, investors can trade twice the amount of their original capital (margin deposit) and buy and sell the same stock as many times as they wish on the same day,” the company wrote.

The new account comes with a loaded condition. For a client to acquire accessibility to the service, one must deposit a minimum of $2,900, for activation. In addition, the client will be required to top up that amount for commission and interest attraction.

“At the start of the service, only the PC version will be available for purchase, but in the future, we plan to expand the service in various ways to make margin trading of US stocks more convenient, such as enabling trading via the “TradeStation U.S. Stock Smartphone” and adding time periods to order types,” Monex said.

Lately, Japanese brokerages have been launching similar US stock margin trading. However, the account works a little differently from others as the client is required to open a separate foreign stock margin trading account.

Monex Growing Strategy

At the end of 2022, Monex signed a partnership deal with AEON Bank in the financial securities linked business. The signing however awaits state authorities’ approvals for its legality.

In the agreement, Monex is required to provide AEON Bank clients with access to asset management services. The Bank also anticipates extending more offerings to build a lasting link with Monex.

“After the Partnership takes effect, AEON Bank will continue to sell mutual funds as a financial products brokerage agent commissioned by Monex, and Monex will execute customer transactions and manage customer accounts,” the entity confirmed.

In future, the two financial companies project a long-term working relationship by revising the terms they have on asset management products. The intention of this is driven by calls to end the registration barrier for retail clients in the market space.