ForexTime Margin Requirements

On this page, you will find the margin requirements at ForexTime. When trading, you must maintain a certain level of funds on your account (the necessary margin). By learning about our margin requirements, you can avoid having your positions closed by the dealer (via Stop Out).

Margin requirements on demo accounts are equivalent to those on corresponding live accounts.

standard.mt4
ecn.mt4
pamm.ecn.mt4

Notional Value (USD)	Notional Value (EUR)	Leverage Provided
0 — 3,000,000	0 — 2,100,000	1:500
3,000,000 — 5,000,000	2,100,000 — 3,600,000	1:200
5,000,000 — 7,000,000	3,600,000 — 5,000,000	1:100
7,000,000 — 10,000,000	5,000,000 — 7,100,000	1:33
More than 10,000,000	More than 7,100,000	1:10

Notional Value (USD)	Notional Value (EUR)	Leverage Provided
0 — 7,000,000	0 — 5,000,000	1:100
7,000,000 — 10,000,000	5,000,000 — 7,100,000	1:33
More than 10,000,000	More than 7,100,000	1:10

Notional Value (USD)	Notional Value (EUR)	Leverage Provided
0 — 7,000,000	0 — 5,000,000	1:100
7,000,000 — 10,000,000	5,000,000 — 7,100,000	1:33
More than 10,000,000	More than 7,100,000	1:10

On standard.mt4 accounts: Every Friday, during the final hour before the close of the trading session, the maximum leverage on all opened and reopened positions will be changed from 1:500 to 1:100. Before the opening of the following trading session, the leverage will be reset based on the volume of your open positions.

Calculating Forex Margin Requirements with Floating Leverage

Step 1

Assume you open Position #1 Buy 20 lots GBPUSD 1.4584.

The notional value is: 20 * 100,000 * 1.4584 = 2,916,800 USD. Since the notional value of 2,916,800 USD is not above 3,000,000 USD, the leverage provided is 1:500.

Margin is: 2,916,800/500 = 5,833.60 USD.

Step 2

You open position # 2 Buy 15 lots EURUSD 1.3175.

The notional value is: 15 * 100,000 * 1.3175 = 1,976,250 USD.

The aggregate notional value of Position #1 and Position #2 is:

2,916,800 (for position # 1) + 1 976 250 (for position # 2) = 4,893,050 USD.

In this case, the aggregate notional value of open positions is above 3,000,000 USD, but under 5,000,000 USD.

Thus, a leverage of 1:500 is provided for the first 3,000,000 USD, and a leverage of 1:200 for the remaining 1,893,050 USD.

Margin is: 3,000,000/500 + 1,893,050/200 = 15,465.25 USD.

Step 3

Assume you open Position #3 Buy 10 lots GBPUSD 1.4590.

The notional value is: 10 * 100,000 * 1.4590 = 1,459,000 USD.

The aggregate notional value of all three positions is:

2 916 800 (for position # 1) + 1,976,250 (for position # 2) + 1,459,000 (for position # 3) = 6,352,050 USD.

Now the aggregate notional value of open positions is above 5,000,000 USD, but under 7,000,000 USD.

Thus, a leverage of 1:500 is provided for the first 3,000,000 USD, a leverage of 1:200 for the next 2,000,000 USD, a leverage 1:100 for the remaining amount.

Margin is: 3,000,000/500 + 2,000,000/200 + 1,352,050/100 = 29,520.50 USD.

Step 4

Assume you open Position #4 Buy 25 lots EURUSD 1.3164.

The notional value is: 25 * 100,000 * 1.3164 = 3,291,000 USD .

The aggregate notional value of all four positions is:

2,916,800 (for position # 1) + 1,976,250 (for position # 2) + 1,459,000 (for position # 3) + 3,291,000 (for position # 4) = 9,643,050 USD.

Now the aggregate notional value of open positions is above 7,000,000 USD, but less than 10,000,000 USD.

Thus, a leverage of 1:500 is provided for the first 3,000,000 USD, a leverage of 1:200 is provided for the next 2,000,000 USD, and a leverage of 1:100 for the next 2,000,000 USD and 1:33 for the remaining part.

Margin is: 3,000,000/500 + 2,000,000/200 + 2,000,000/100 + 2,643,050/33 = 116,092.42 USD.

Step 5

Assume you open Position #5 Buy 10 lots EURUSD 1.3188

The notional value is: 10 * 100,000 * 1.3188 = 1,318,800 USD.

The aggregate notional value of all five positions is:

2,916,800 (for position # 1) + 1 976 250 (for position # 2) + 1,459,000 (for position # 3) + 3,291,000 (for position # 4) + 1 318 800 (for position # 5) = 10,961,850 USD.

Now the aggregate notional value of open positions is above 10,000,000 USD. Thus, a leverage of 1:500 is provided for the first 3,000,000 USD, a leverage of 1:200 is provided for the next 2,000,000 USD, and a leverage of 1:100 for the next 2,000,000 USD, 1:33 for the next 3,000,000 and 1:10 for the remaining part.

Margin is: 3,000,000/500 + 2,000,000/200 + 2,000,000/100 + 3,000,000/33 + 961,850/10 = 223,094.09 USD .

Step 6

Let's suppose you close position # 2 (Buy 15 lots EURUSD 1.3175)

The notional value is: 1,976,250 USD.

The aggregate notional value of all four positions is (taking into account the second position having been closed) :

2,916,800 (for position # 1) + 1,459,000 (for position # 3) + 3 291 000 (for position # 4) + 1,318,800 (for position # 5) = 8,985,600 USD.

When Position #2 was closed, the total notional value also decreases which leads to a decrease in the margin requirements. The part exceeding 10,000,000 USD is removed first and with it the 1:10 leverage.

Margin is : 3,000,000/500 + 2,000,000/200 + 2,000,000/100 + 1,985,600/33 = 95,169.69 USD.

Our Forex Margin Requirements