Japan Securities Finance announced that it would tighten collateral requirements for CAULIS and raise the securities lending collateral rate to 50% from the 15th, including a 20% cash collateral component. CAULIS shares subsequently plunged.
CAULIS shares plunged. Japan Securities Finance announced that it would implement additional margin collection measures for the company’s shares from the 15th.
The measures include raising the securities lending collateral rate to 50%, of which 20% will be in cash collateral. The announcement was made on the 14th.
Market participants are mindful that the higher collateral requirements could affect liquidity and trading conditions.