CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 80% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Margin Health, also known as the Margin Indicator, shows the percentage of your cash available. It helps you monitor your account's financial status and determine whether you can open new positions.
How is margin calculated?
If your account status is above 50%, the formula used is:
Account Status = (Total Funds / (Total Funds + Reserved Funds)) × 100
If your account status falls below 50%, the calculation changes to:
Account Status = (Total Funds / Reserved Funds) × 50
What do different margin levels mean?
- Between 100% and 50%: You have available funds and can open new positions.
- Below 50%: All your free funds are used, and you cannot open new positions.
- At 45% (Margin Call): If your margin drops below 45%, you’ll receive an email warning you about the low margin.
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Below 25% (Automatic Position Closure): If your margin falls below 25%, the system will automatically start closing your CFD positions one by one until your margin indicator exceeds 25%.
- How it works: The system closes positions in the order they were opened. If one cannot close (e.g., the market is closed or no new price quotes are available), the system will move to the next position in line.
- This safeguard, along with our Negative Balance Protection, ensures you don’t lose more than your deposited funds.
How can I check my account status?
You can view your account status by tapping on the portfolio page, located near the home page buttons. This will display your asset allocation. The feature is available on both web and mobile versions of the platform.
- Email Notifications: You will receive a margin call notification only once. It remains valid until your margin level rises above 60%.
- Extreme Market Volatility: During sharp market drops, the system may close positions without sending a margin call to protect you from going into a negative balance.
💡 Example
- Free Funds: €681
- Reserved Funds: €435