Company: FRHC
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0000924805-25-000002
Chunk: 204

Company: Freedom Holding Corp.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 8
Chunk 204
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NOTE 6 – MARGIN LENDING, BROKERAGE AND OTHER RECEIVABLES, NET

Margin lending, brokerage and other receivables as of December 31, 2024, and March 31, 2024, consisted of:December 31, 2024March 31, 2024Margin lending receivables$2,020,426 $1,635,377 Receivables from telecommunication services6,749 — Bank commissions receivable6,229 11,574 Bond coupon receivable and dividends accrued4,765 5,429 Receivables from brokerage clients2,905 2,603 Other receivables10,956 17,282 Allowance for receivables(14,357)(11,990)Total margin lending, brokerage and other receivables, net$2,037,673 $1,660,275 Margin lending receivables are amounts owed to the Group from customers as a result of borrowings by such customers against the value of qualifying securities, primarily for the purpose of purchasing additional securities. Amounts may fluctuate from date to date as overall client balances change as a result of market levels, client positioning and leverage. Credit exposures arising from margin lending activities are generally mitigated by their short-term nature, the value of collateral held and the Group's right to call for margin when collateral values decline.Collateral for margin lending receivables includes cash balances in clients' brokerage accounts and securities, adjusted for clients' off-balance sheet short positions. As of December 31, 2024, and March 31, 2024, the fair value of collateral held by the Group under margin loans was $4,478,894 and $2,824,498, respectively.As of December 31, 2024, and March 31, 2024, the Company had three non-related party customers and one non-related party customer, respectively, whose individual balances exceeded 10% of the total margin lending, brokerage, and other receivables balance, amounted to $1,433,546 and $399,196, respectively. The collateral held from these non-related party customers was valued at $2,018,735 and $460,771 as of December 31, 2024, and March 31, 2024, respectively.For both individual and institutional brokerage clients, the Group may enter into arrangements for securities financing transactions in respect of financial