5.4 Margin requirements. After the hedge fund has marked-to-market its time- 1/2 loss when the convert drops to 96 , it has a net asset value of $100M. The hedge fund owns 4M convertible bonds. The hedge fund's prime broker states that the margin requirement for each convertible bond and its hedge is 30% of the convert value. a. Does the hedge fund have sufficient capital to meet the margin requirement for its current position? b. What is the maximum position that the hedge fund can take