Leverage (300)

Leverage primarily considers Portfolio Equity and Liabilities, where Portfolio Equity is defined as Assets subtract Liabilities. The Leverage factors account for 300 of the total Credit Score.

Factor	Calculation	Description	Weight
Portfolio Leverage	Liability / Portfolio Equity	Assets a trading has borrowed in relation to the Portfolio Equity of the trading firm, where Portfolio Equity is calculated as Assets - Liability.	150
Portfolio Equity	Assets - Liability	Portfolio Equity is converted to a score using a logarithmic curve, a minimum Net Equity of $7m, and a maximum Net Equity of $500m.	150