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CFD Shares

Corporate actions (such as Stock Splits, Dividends, Earnings, etc) can affect the stock price. During such events, possible price market gaps are expected to occur following the announcements. In order to protect our clients, an increased margin is required during these times of volatility. On such events, the minimum margin required will be 20% for the whole trading session before the corporate action (ex-date) and 15 minutes after the market opening. This will apply only to new positions opened on the ex-date.

Daily Break: All new positions opened in the 30 minutes before market closing and 15 minutes after market opening the following day margin will be 15%

Weekend/ Holiday Policy: All new positions opened in the 30 minutes before market closing and 15 minutes after market opening the following day margin will be 15%

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 Example 1 – Account Leverage 1:500 , 2 lots

Margin Requirement calculation:

Number of Lots * contract size * market price / maximum leverage * conversion rate (if applicable)

Client Account Currency USD

Account Leverage – 1:500

Instrument to trade: SNAP

Volume traded: 2 lots

Margin requirement: 2 * 100 * 14.50 / 20

Total Margin Required: 145 USD.

Example 2 – Account Leverage 1:500 , 52 lots

Margin Requirement calculation:

Number of Lots * contract size * market price / maximum leverage * conversion rate (if applicable)

Client Account Currency USD

Account Leverage – 1:500

Instrument to trade: SNAP

Volume traded: 52 lots

Margin requirement for first level: 50 * 100 * 14.50 / 20

Margin requirement for second level: 2 * 100 * 14.50 / 10

Total Margin Required: 3625 + 290 = 3915 USD.

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