Interest is calculated on deposits based on Net Free Equity (NFE) for the main account and on the Account Value for sub-accounts. The interest is calculated daily and booked monthly. Positive NFE/Account value above certain thresholds will be given interest, and negative NFE/Account value will be deducted interest.
Partners can also view the interest booked for all their clients in the relevant End of Day files. Please read the End of Day article for more information.
The article will explain the following items:
How to establish a new profile
Please complete the Excel template and submit in a case via SaxoConnect to the Configurations department.
The Excel template can be retrieved by pressing here, and below you will be able to view an example of a completed template.
| OWNER ID | 11111111 | |||||
| Request type | Modify existing interest profile | |||||
| Interest profile name | <Saxo Bank - New Interest test> | |||||
| Interest Type | Interest Rule Currency | Fixed or floating markdown/up | Amount To | Amount From | Amount currency | |
| Negative NFE Balance (Mark up) | Floating | Account Currency = All ( Specify if any) | 8.00% | -Inf | 0 | USD |
| Positive NFE Balance, Fixed Interest Rate | Fixed | Account Currency = All ( Specify if any) | 0.00% | 0 | 10,000 | USD |
| Positive NFE Balance (Mark Down) | Floating | Account Currency = All ( Specify if any) | 1.00% | 10,000 | 100,000 | USD |
| Positive NFE Balance (Mark Down) | Floating | Account Currency = All ( Specify if any) | 0.50% | 100,000 | Inf | USD |
| *Please add additional lines if further splitting of the amounts is needed or specific currency rules is needed by adding in the interest rule currency. | ||||||
*Floating = Variable interest rate according to benchmark
*-inf = infinite negative amounts
*inf = infinite positive amounts
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Please note If you wish to update your onboarding template with the new interest profile, then please state so in the case submitted to the configuration department. |
Updating a client’s interest Profile
Interest is calculated daily but booked monthly. If a client's interest profile is changed mid-month to no interest, the system recalculates at the end of the month based on the assigned profile. If a no-interest profile is assigned, then no interest applies.
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Please note Partners intending to move endclients between subowners should ensure to amend the Interest profile to "Not Applicable" before moving and re-establish the correct profile once moved to the new owner. |
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