As a company administrator, use the settings on the Accounts | SOD/Credit tab to determine what actions to take on an account that exceeds its daily credit limit.
The Credit Loss Adjustment Settings section on the SOD/Credit tab includes options to set an action when available credit falls below a specified percentage based on the Daily Limit (plus or minus any P\L). As a company administrator, you can set a percentage of credit loss as well as the following post trade action(s) to take on an account when its credit loss percentage is breached:
When enabled on an account, these options will be applicable to the account's sub-accounts as well. The option to take these actions based the credit loss percentage is disabled by default. The automatic liquidation functionality is enabled per account, and is only applied when Credit Check is enabled and when one auto-liquidation user is defined for your company.
Note: For the auto-liquidate post trade option, enable this functionality for your company by assigning an auto-liquidation user to your company before enabling auto-liquidation on any accounts in your company on the Users | SOD/Credit tab. Auto-liquidation will not start until one liquidation user is assigned. When choosing the auto-liquidate option, you must also set any required exchange settings (e.g., operator ID for example) that are needed to close a position. The exchange will reject liquidation orders without the proper exchange settings.
When enabling the auto-liquidation option for an account, consider the following:
To set up account auto-liquidation: