Four major online brokerages, including Charles Schwab Corp. (SCHW) and Fidelity Investments, have recently raised margin requirements on some Chinese securities, as concerns mount over accounting discrepancies at some companies trading in the U.S.

Schwab, the largest discount brokerage by market capitalization, said in an emailed statement it "adjusted maintenance requirements for many, and made some unmarginable based on current information."

Buying stocks on margin refers to purchasing the securities with money borrowed from the brokerage. Buying on margin can increase gains and losses on stocks; higher margin requirements can cut into demand for volatile shares.

TD Ameritrade Holding Corp. (AMTD) also raised its margin requirements for some Chinese stocks, while E*Trade Financial Corp. (ETFC) initiated a similar change in March. E*Trade currently has 127 stocks that have margin requirements of 100%, according to a company spokeswoman, who wouldn't say how many of those were Chinese companies. Fidelity said it "adjusted" margin requirements on some Chinese stocks "weeks ago."

The brokerages say such a move isn't unusual as they look to protect their clients and themselves from volatility, and what one spokesman termed "suspicious" activity.

Recently, some Chinese companies traded in the U.S. have fallen sharply in price. Some have in recent months acknowledged problems with their accounting. The Securities and Exchange Commission is investigating accounting and disclosure issues at some Chinese companies that list on U.S. exchanges through "reverse mergers," arrangements that can avoid the regulatory scrutiny that comes with an initial public offering. In a reverse merger, a company acquires a public stock listing by merging with a shell company with publicly traded shares.

The Schwab spokesman said the company will "continue to monitor the situation to determine if we need to make further changes."

Recently, Interactive Brokers Group Inc. (IBKR) announced on its website that it barred clients from using borrowed money to buy shares of over 130 Chinese companies because of "elevated risk concerns."

-By Brett Philbin, Dow Jones Newswires; 212-416-2173; brett.philbin@dowjones.com

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