General Information& Regulation
Citadel Securities is a global market maker across a broad array of fixed income and equity products, aiming to meet the liquidity needs of asset managers, banks, broker-dealers, hedge funds, government agencies, and public pension programs. Citadel Securities (Hong Kong) Limited is exempt from the requirement to hold an Australian financial services licence under the Corporations Act 2001 in respect of the financial services provided in Australia; and Citadel Securities (Hong Kong) Limited is regulated by the Securities and Futures Commission of Hong Kong under the laws of Hong Kong, which differ from Australian laws.
In the equities market, Citadel Securities excels as a source of liquidity, executing a significant portion of U.S. equity market volume and connecting broker-dealers and institutions to its expansive liquidity ecosystem. Additionally, it is a major player in ETF trading, providing block-sized liquidity. Operating as the NYSE's leading Designated Market Maker, the company ensures orderly trading for corporate issuers. Moreover, Citadel Securities holds a significant position as the largest U.S. options market maker and offers liquidity in fixed income, currencies, and U.S. Treasuries.
The company caters to various client needs with a range of account types, including Prime Broker, Equity Market Maker, Fixed Income Market Maker, Program Trading, Prop Trading, and Specialist accounts. Citadel Securities leverages its leverage level of 6x to facilitate liquidity provision and trading profitability. The company consistently provides a better price than the national best bid and offer (NBBO). While customer support contact details are not explicitly provided, Citadel Securities remains a notable force in the financial industry, renowned for its liquidity provision across diverse market segments.
Pros and Cons
Citadel Securities, a well-regulated and reputable entity in the financial sector, offers several advantages, including market insights and diverse account options tailored to various needs. However, potential drawbacks include limited information on customer support channels, the relatively high leverage employed, and minimum deposit and withdrawal requirements. Additionally, specific contact numbers for support are not provided.
Is Citadel Securities Legit？
Citadel Securities (Hong Kong) Limited is regulated by the Securities and Futures Commission of Hong Kong and holds a license for dealing in futures contracts (License No.: ARO399). The institution's regulatory status is currently marked as “Regulated” since its effective date in 2009, with no specified expiry date. For more information, you can visit their website at www.citadelsecurities.com, and their contact email is asialegalcompliance@citadel.com. The institution is located at 香港中環金融街八號國際金融中心二期42樓, and their phone number is not provided.
Products
Equities & Options: Designated Market Maker (DMM), ETF Trading, Citadel Connect, Algorithmic Trading And Smart Order Routing;
FICC: Interest Rate Swaps, U.S. Treasuries, Foreign Exchange, Credit Indices.
Account Types
PRIME BROKER ACCOUNT: Citadel Securities provides clients with a Prime Broker Account, granting access to a comprehensive suite of trading services, encompassing market access, clearing, and financing. This account type is designed to facilitate various aspects of trading operations for clients.
EQUITY MARKET MAKER PROGRAM: The Equity Market Maker Program is a specialized account tailored for firms aspiring to become market makers for US equities. This program is structured to support and enable market-making activities in the US equity market.
FIXED INCOME MARKET MAKER PROGRAM: Citadel Securities offers the Fixed Income Market Maker Program, catering to firms interested in becoming market makers for US fixed income securities. This specialized account type is intended to facilitate market-making activities in the US fixed income market.
PROGRAM TRADING ACCOUNT: Clients seeking to execute large orders of securities in a coordinated manner can opt for a Program Trading Account. This account type is designed to assist clients in efficiently managing and executing significant securities orders.
PROP TRADING ACCOUNT: Citadel Securities provides a Prop Trading Account, allowing clients to engage in securities trading using their own capital. This account type empowers clients to make trading decisions independently with their proprietary funds.
SPECIALIST ACCOUNT: The Specialist Account is designed for clients looking to trade securities on behalf of other investors. This account type enables clients to act as intermediaries and execute trades on behalf of their investors, offering a valuable service in the trading ecosystem.
Leverage
Citadel Securities' leverage is currently 6x, which means that for every $1 of capital on its balance sheet, the firm can control $6 of assets. This is a relatively high level of leverage, but it is not unusual for market makers. Citadel Securities uses its leverage to provide liquidity to the markets and to generate profits from trading.
Spreads & Commissions
The average quoted spread is 2.33 cents per share, with an average price improvement of 0.64 cents per share. This means that Citadel Securities typically offers customers a better price than the national best bid and offer (NBBO).
Deposit & Withdrawal
Citadel Securities allows deposits via wire transfer, ACH transfer, and credit card. Wire transfers are settled within one business day and have a minimum deposit of $100,000. ACH transfers are settled within two business days and have no minimum deposit. Credit card deposits are settled immediately and have a 3.5% fee.
Citadel Securities allows withdrawals via wire transfer and ACH transfer. Wire transfers are settled within one business day and have a minimum withdrawal of $50,000. ACH transfers are settled within two business days and have no minimum withdrawal.
Trading Platform
The automated equities platform of Citadel Securities trades approximately 27% of U.S. equities volume1 across more than 11,000 U.S.-listed securities and trades over 16,000 OTC securities, and sources liquidity from all U.S. exchanges and more than 18 alternative liquidity venues.
Global Locations
The global locations of Citadel Securities include Chicago, New York, London, Hong Kong, Toronto, Austin, Sydney, Dublin, Zurich, Shanghai, Singapore, Paris.
Customer Support
If clients have any questions or concerns, please call 852-3667-5500 (Hong Kong) for consultation.
Educational Tools
NEWS & INSIGHTS: Citadel Securities provides a “News & Insights” section on its website, offering valuable information under categories like Company News and Media Resources. Company News features articles on partnerships, rankings, and office openings, keeping readers updated on the company's latest developments. Media Resources provide access to the pressroom and insights into careers at Citadel Securities, including articles discussing interns' learning experiences and the significance of debate. This section serves as a resource for staying informed about the company's activities and opportunities.
MARKET INSIGHTS: Under the “Market Insights” section, Citadel Securities offers market-related educational content. This includes discussions on significant topics such as equity market structure proposals and the role of emerging technology in the market. Readers can gain insights into current market trends and regulatory matters, enhancing their understanding of the financial industry.
CIVIC LEADERSHIP: Citadel Securities is actively involved in civic leadership and sponsors programs like the Thrive Scholars Summer Academy. This section highlights the company's commitment to supporting under-resourced communities and features news and updates related to their civic engagement efforts.
Conclusion
In conclusion, Citadel Securities operates as a regulated institution, offering a range of market instruments including equities, ETFs, designated market making, options, fixed income, and foreign exchange services. It provides various account types to cater to different client needs and operates with a leverage ratio of 6x. While it generally offers low spreads and commissions, deposit and withdrawal options vary in terms of minimums and processing times. Citadel Securities runs a substantial trading platform and provides educational resources through its website, focusing on news, market insights, and civic leadership initiatives. Customer support is primarily facilitated through online channels.
FAQs
Q1: Is Citadel Securities a legitimate financial institution？
A1: Yes, Citadel Securities (Hong Kong) Limited is regulated by the Securities and Futures Commission of Hong Kong and holds a license for dealing in futures contracts.
Q2: What market instruments does Citadel Securities specialize in？
A2: Citadel Securities is a major provider of equities liquidity, ETF trading, designated market making, options market making, and fixed income and FX trading.
Q3: What are the account types offered by Citadel Securities？
A3: Citadel Securities offers various account types, including Prime Broker, Equity Market Maker, Fixed Income Market Maker, Program Trading, Prop Trading, and Specialist accounts.
Q4: What is the leverage ratio for Citadel Securities？
A4: Citadel Securities has a leverage ratio of 6x, allowing them to control $6 of assets for every $1 of capital.
Q5: How does Citadel Securities handle spreads and commissions？
A5: Citadel Securities typically offers customers a better price than the national best bid and offer, with an average quoted spread of 2.33 cents per share.
Q6: What are the deposit and withdrawal options at Citadel Securities？
A6: Citadel Securities allows deposits via wire transfer, ACH transfer, and credit card, with varying settlement times and minimum deposit/withdrawal requirements.
Q7: How can I contact Citadel Securities for customer support？
A7: Citadel Securities primarily offers customer support through email and maintains active social media profiles on various platforms. Specific contact numbers are not provided.
