Can I sell investments while I have an outstanding balance in my Portfolio Line of Credit?

Yes, you can sell investments in the account associated with your Portfolio Line of Credit as long as you maintain sufficient equity.

As long as the following equation is satisfied, you can withdraw funds from your investment account:


In the following example, the withdrawal would be allowed because the client maintains sufficient equity even after selling investments.



Before Withdrawal



Account Balance



Outstanding Line of Credit Balance



Equity %




Withdrawal Amount


Was this article helpful?

All investing involves risk, including the loss of your principal investment(s), and past performance does not guarantee future results. Margin lending can add to these risks, and investors should carefully review those risks as part of their overall financial strategy. Diversification strategies do not guarantee a profit or protect against loss in declining markets. Learn more about Portfolio Line of Credit in the Margin Handbook.

Financial advisory services are offered by Wealthfront, Inc., an SEC-registered investment adviser. Brokerage products and services are offered by Wealthfront Brokerage Corporation, member FINRA / SIPC, and a wholly-owned subsidiary of Wealthfront, Inc.