Margin Requirements Margin Requirements Transactions conducted in the SWFX marketplace may be done on a margin trading basis, enabling a client to execute trades larger than the deposit, amplifying price movement effect.
The multi-currency exposure of the account is limited by the total trading line which is calculated by multiplying the Equity of the account by the leverage agreed with Dukascopy Europe. Minimum margin requirements In order to protect clients from incurring liability above their equity and protect Dukascopy Europe from associated risks, the following minimum margin policy applies: The minimum equity requirement for the self-trading account is 20 EUR. For accounts with different base currency the minimum amount of equity is calculated at the corresponding rate of the latest settlement.
All open positions may be closed and the account may be blocked should the equity on the account reach the minimum margin requirement. The minimum margin required to open a position depends on the leverage applicable to the trading instrument and current market prices.
Use of leverage The Use of Leverage is an indicator showing how much of the collateral is currently used by the exposure on the trading account. It is displayed in percentage in real-time and calculated as follows: Use of leverage.