Margin & leverage
Depending on your account settings, the margin requirements for forex trading (opening and maintaining a position) is listed below. Exto Capital does not increase margin requirements overnight or over weekends.
|Initial account size||Margin required||Leverage|
|$500 - $5'000||1%||1:100|
|$5'000 - $25'000||1%||1:100|
|$25'000 - $1'000'000||1%||1:100|
Within extoPro Trader platform, Clients can monitor at all times the following:
- Margin Used
- Equity over Margin as a percentage
- Usable Margin available
- Margin requirement for spot gold is 1% and 2% for spot silver for all account sizes.
- The margin percentages and leverages in the table are indicative and depend on exchange rates. For a complete listing of margin required on forex instruments and precious metals please refer to the forex margin requirements.
- Using a higher leverage involves higher risks. Exto Capital strongly recommends that you trade using a low leverage account set-up and use low leverage while trading.
Liquidation of positions due to insufficient margin
The margin (or collateral) used for opening and maintaining positions depends on the account settings and are listed in the margin requirements table.
The equity (current balance including open positions) available on your account has to cover margin used. If the equity falls below total margin used, your open positions may be closed by Exto Capital. In all cases the system will not allow your equity to fall below 70% of the margin used. This means that your account can not become negative.
When the percentage of Equity/Used Margin reaches 100%, traders are automatically informed on the platform by a popup.
All clients are fully responsible for monitoring the transactions on their accounts and their margin utilization and to take necessary actions they deem necessary to protect their funds.