Do not invest more money than you can afford to lose.
Forex broker FreshForex said on Friday it intends to reduce the margin requirements for clients that operate accounts with a large balance. The change in trading conditions will come into effect on 8 February, 2016.
Margin rates will depend on the account balance.
FreshForex offers Classic, Market Pro, and Electronic Communication Network (ECN) accounts. Classic accounts are a good choice for all traders, including beginners. Market Pro accounts are for more active traders, while ECN account have been designed for advanced and professional traders.
For Classic accounts, the maximum leverage rates will vary from 25:1 to 1,000:1, based on the amount of the balance. For Market Pro and ECN accounts, the leverage rates will be between 25:1 and 500:1.
The company has set dependence between balance and leverage as follows:
Classic | ||||
Balance | Maximum leverage | |||
USD | EUR | RUB | ||
| Up to | 3,000 | 2,700 | 210,000 | 1:1000 |
| More | 3,000 | 2,700 | 210,000 | 1:500 |
| More | 20,000 | 18,000 | 1,400,000 | 1:200 |
| More | 50,000 | 45,000 | 3,500,000 | 1:100 |
| More | 100,000 | 90,000 | 7,000,000 | 1:50 |
| More | 500,000 | 450,000 | 35,000,000 | 1:25 |
ECN and Market Pro | ||||
Balance | Maximum leverage | |||
USD | EUR | RUB | ||
| Up to | 20,000 | 18,000 | 1,400,000 | 1:500 |
| More | 20,000 | 18,000 | 1,400,000 | 1:200 |
| More | 50,000 | 45,000 | 3,500,000 | 1:100 |
| More | 100,000 | 90,000 | 7,000,000 | 1:50 |
| More | 500,000 | 450,000 | 35,000,000 | 1:25 |
Clients should monitor and maintain the balance of their trading accounts and leverage rates. They, however, would not be able to manipulate the leverage on their own discretion without consenting the broker.
Leverage is a type of virtual borrowing that traders can get from brokers. It allows investors to operate with higher amounts and to increase their profit. The higher the leverage rate, the greater the buying and selling power of a trader. Traders can operate with it, but can’t withdraw it or lose it.
FreshForex is the trading name of Riston Capital, which is headquartered in Russia and registered in St. Vincent and the Grenadines. It offer forex and contracts for difference (CFDs) trading services
The company is a member of the Centre for Regulation in OTC Financial Instruments and Technologies (CRFIN), a Russian self-regulatory organization.
Source: FreshForex
