LEVERAGE

The default Leverage is 1:500, however may vary accordingly.

The Client may request leverage other than the default, subject to approval by the Company.
For Margin Requirement, in case of a leverage different than the default, please refer to the below table.

In addition, leverage may change in cases where the accumulated number of lots on open positions increases.

The change of leverage is applied based on the net exposure of the Client.

Net Open Positions (“NOP”) refers to accumulated positions held open by the Client on all instruments.

The Leverage returns to its initial levels when considered convenient.

Refer to the below table for further details regarding the NOP tiers and corresponding maximum leverage.

Margin Requirement (‘MR’) calculations:

FX : Number of Lots  *  contract size * Percentage margin required * conversion rate (if applicable)

CFD (Futures – Spot Metals- Shares -Cryptos-Indices) : Number of Lots  *  contract size * Market price* Percentage margin required * conversion rate (if applicable)

Example 1 (FX) – the margin requirement to trade 5 Lots of GBPUSD with 0.20% margin requirement (corresponding to 1:500 account); account Base Currency: EUR

*conversion rate 1.29631 (market price EURGBP 0.77142 : conversion: 1/0.77142

– in the example, the margin requirement equals to GBP 1,000

 

Example 2 (FX) – the margin requirement to trade 2 Lots of GBPCAD with 0.20% margin requirement (corresponding to 1:500 account); account Base Currency: USD

– in the example, the margin requirement equals to GBP 400 

Example 3 (FX) – the margin requirement to trade 1 Lot of AUDUSD with 0.20% margin requirement (corresponding to 1:500 account); account Base Currency: GBP

– in the example, the margin requirement equals to AUD 200

Example 4 (CFD Spot Metals) – the margin requirement to trade 2 lots of XAUUSD with 0.30% margin requirement (corresponding to 1:500 account); account Base Currency: USD

Example 5 (CFD Indices) – the margin requirement to trade 5 CFDs of UK100 with 0.50% margin requirement (corresponding to 1:500 account); account Base Currency: GBP

Example 6 (CFD indices) – the margin requirement to trade 2 CFDs of GER30 with 0.50% margin requirement (corresponding to 1:500 account); account Base Currency: EUR

Example 7 (CFD SHARES) – the margin requirement to trade 1 CFDs of EBAY with 5% margin; Base Currency: USD

Note I: Margin Requirement is based on the leverage (excluding CFD SHARES), it may be subject to changes whereby clients are notified accordingly.

Note II: change in Margin Requirement is performed, based on NOP, and the margin re-calculation takes place.

Note III: The Client may need to restart his client terminal in order to see the correct margin Requirements based on the new adjusted Leverage.

Friday Hedge Policy 

On the last trading day of the week (Friday), or in cases of early close, due to market holidays, each account with Leverage 1:400 and above, carrying open/unhedged positions of more than 5 Lots should maintain a Free/available margin (equity to margin level) of more than 200%.

In cases where the Free/available margin falls below 200%, then the Company reserves the right to hedge partially or fully any open position (without prior notice), starting with the most unprofitable instrument, until the Free/available margin return above the required as below.

Account(s) holding “fully” hedged positions, with zero equity or below, are provided with a “grace period”.

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