Margin requirements determine the amounts of funds that clients should have available in their trading accounts as collateral for maintaining open positions.
TeleTrade’s margin requirements are fixed for MT5 accounts, and floating for certain groups of financial instruments in MT4 accounts.
Fixed margin requirements are those that don’t change with respect to the size of positions. Floating margin requirements are those that change (‘float’) as the size of the position in an instrument that has floating leverage changes, as per the table below. Please note that floating margin requirements apply to the entire group of financial instruments, and they override the leverage of the trading accounts in all cases when they apply.
E.g. a client who operates a trading account with 1:500 leverage, will be able to open US$ 1 mln position in any currency pairs with a 0.2% margin requirement, while the next US$ 1 mln position in currency pairs will be opened with an increased margin requirement of 0.5%, and subsequent US$ 2 mln in positions will require margin of 1% etc. At the same time, margin requirements for any positions opened by this client in metals, energies or indices will not be affected by the size of the client’s exposure to currency pairs, and will only take into account respective exposures to metals, energies or indices as the case may be.
Important - Please Note
Floating margin requirements only apply to the financial instrument types as per the above table. CFDs on Shares, ETFs and Cryptocurrencies have fixed margin requirements as per Trading Conditions.
© 2000-2020. All rights reserved.
This site is managed by Teletrade D.J. Limited 20599 IBC 2012 (First Floor, First St. Vincent Bank Ltd Building, James Street, Kingstown, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at email@example.com.