Margin

What is my margin requirement?

Your margin requirement is the cash deposit that you require to maintain your existing exposure. When you place a trade you must have sufficient available equity to cover the margin costs, or requirement of that position. The margin requirement level must be maintained over and above any profit or losses on your account.

If you have any further questions, please click here to start a live chat with one of our representatives now.

What are the margin requirements for our products?

Margin requirements vary by product and range from 0.25% - 10%, as follows:

  • Major FX and Major Indices - 0.25%
  • All other FX and Indices – 0.25 - 1%.
  • Bullion and Treasuries – 0.5%
  • Crude Oil and Brent Crude – 1%
  • All other Commodities and other Energy markets – 3%.
  • Equities from 5 to 10%. 

Please refer to the Accounts section of our website to see the most up to date information about all our products, including margin requirements.

One Financial Markets strongly believes in providing exceptional client service and for this reason we will always try and offer a flexible approach to margin requirements to support our client's trading needs.

If you have any further questions, please click here to start a live chat with one of our representatives now.

How do I calculate my margin requirement?

Margin requirement is calculated as a percentage of the position. Please make sure you are aware of the applicable margin requirement before you execute a trade.
 


MT4 Platform

Margin requirement is calculated as follows:

FX and Bullion:  $250 to $500 per lot, with 1 lot being

  • 100,000 in FX
  • 100 Ounces of Gold
  • 5000 Ounces of Silver

CFDs: (eg US Crude)

Calculation: Price / minimum tick fluctuation * number of CFDs = Contract value * Margin Percentage = Margin Requirement in USD
Example: 101.21 / 0.01 * 10 = $101,210 x 1% = $1,021.10
 


Margin Calculations

Indices: 0.5% - 1% of contract size

Example 1 
If you are long 10 FTSE @ 5670
Contract Value = (Quantity * Market Price) * Margin Requirement
= 10 * 5670 * 0.005
= $283.50

Foreign Exchange: 0.25%

Example 2
You are long 100 000 AUDUSD
Contract value = (Quantity * Exchange rate) * Margin Requirement
                       = (100 000 * 0.25%)
                       = $250.00

Bullion: 0.5%

Example 1 
You are long 100 ounces @ $1734.4
Spot Gold & Spot Silver is $500 per lot.

Gold Future and Silver Future
You are long 10 CFD @ 1734.4
Contract value = (Quantity * Market Price) * Margin Requirement
= (10*1734.4) *0.05
= $867.20

Commodities: 1% - 3%

Example 1 
You are long 10 US Crude CFD’s @ 99.37
Contract value = (Quantity * Market Price)/ Minimum Fluctuation) * Margin                          
= (10 *99.37 ) / 0.01) * 0.01
= $993.70

If you have any further questions, please click here to start a live chat with one of our representatives now.

How do I calculate my Equity Margin Ratio (E/M) for a Margin Call?

E/M is your ratio of equity over margin requirement.  For example, if you had equity (funds available) of $50 and your margin requirement was $100 then your E/M Ratio would be 50% (50/100 * 100).

Contracts for Differences (CFDs) and margined FX are leveraged products which carry a high degree of risk to your capital and may result in you losing more than your initial deposit. Trading CFDs may not be suitable for all investors and you should fully understand the risks involved before opening an account. Please read the Risk Warning notice on our website.