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Margin & Leverage

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Flexible Leverage Up to 1:1000 with ABET Global

Flexible Leverage Options

Dynamic Margin for Cryptocurrencies and CFDs

Real-Time Risk Monitoring

Leverage Risk Considerations

Stop-Out Level Protection

Consistent Margin and Leverage Terms

Over 500 Global Investment Instruments Available.

Select the market that aligns with your investment strategies and begin trading with your preferred instruments. ABET Global offers a wide range of options, including Forex, Stocks, Metals & Commodities, FX Indices, and Indices transactions.

At ABET Global, clients benefit from flexible leverage options ranging from 1:1 to 1:1000, providing greater control over their trading strategies. With real-time risk exposure monitoring and negative balance protection, you can trade confidently without concerns about unexpected margin changes during weekends or overnight.

ABET Global offers consistent margin requirements and leverage across accounts, tailored according to your total account equity.

Leverage Total Equity
1:1 to 1:1000
$5 — $40,000
1:1 to 1:500
$40,001 — $80,000
1:1 to 1:200
$80,001 — $200,000
1:1 to 1:100
$200,001 +

Understanding Margin Requirements for Trading:

Margin represents the collateral needed to manage credit risks in trading. It is typically expressed as a percentage of the position size, such as 5% or 1%. For example, a 1% margin requires a $10,000 deposit for a $1,000,000 position. The primary purpose of holding funds in your account is to meet margin requirements.

For Forex, Gold, and Silver trades, new positions can be opened as long as the margin requirement is less than or equal to the available free margin. With no margin needed for hedging, hedged positions can be opened even when the margin level drops below 100%.

For other instruments, the margin requirement for hedged positions is 50%. New hedged positions can be opened if the total equity covers the final margin requirements.

Dynamic Margin for Cryptocurrencies:

At ABET Global, leverage on Cryptocurrency CFDs is dynamic, adjusting automatically based on the traded volume of each instrument. As trading volume increases, so does the margin percentage in proportion to the leverage.

Each instrument’s margin is calculated separately, ensuring precise margin management across multiple open positions.

Example:

Lots Dynamic Margin Percentage Laverage
0-14
0.2%
500:1
14-43
0.4%
250:1
43-70
2%
50:1
70+
100%
1:1
Lots
Dynamic Margin Percentage
Leverage
0-14
0.2%
1:500
14-43
0.4%
1:250
43-70
2%
1:50
70+
100%
1:1

Example 1: USD base currency account trades 10 lots of BTCUSD at 65,000 USD.

Lots
Dynamic Margin Percentage
Actual Used Margin
10
0.2%
Lots x Contract Size x OpenPrice x MarginPercentage = 10 x 1 x 65,000 x 0.2 % = 1,300 USD
Total Margin = 1,300 USD

Example 2: USD base currency account trades 35 lots of BTCUSD at 65,000 USD.

Lots
Dynamic Margin Percentage
Actual Used Margin
14
0.2%
Lots x Contract Size x OpenPrice x MarginPercentage = 14 x 1 x 65,000 x 0.2 % = 1,820 USD
21
0.4%
Lots x Contract Size x OpenPrice x MarginPercentage = 21 x 1 x 65,000 x 0.4 % = 5,460 USD
Total Margin = 7,280 USD

Example 3: USD base currency account trades 75 lots of BTCUSD at 65,000 USD.

Lots
Dynamic Margin Percentage
Actual Used Margin
14
0.2%
Lots x Contract Size x OpenPrice x MarginPercentage = 14 x 1 x 65,000 x 0.2 % = 1,820 USD
29
0.4%
Lots x Contract Size x OpenPrice x MarginPercentage = 29 x 1 x 65,000 x 0.4 % = 7,540 USD
27
2%
Lots x Contract Size x OpenPrice x MarginPercentage = 27 x 1 x 65,000 x 2 % = 35,100 USD
5
100%
Lots x Contract Size x OpenPrice x MarginPercentage = 5 x 1 x 65,000 x 100 % = 325,000 USD
Total Margin = 369,460 USD

In cases where the account leverage is below the leverage value of the traded instrument, leverage decreases to meet the account leverage value.

In the examples below, you can see how dynamic margin is calculated and restricted by account leverage. Kindly note that the values in the tables are for illustrative purposes only and should not be used for making trading calculations.

Examples:

BTCUSD

Lots
Dynamic Margin Percentage
Leverage
Account Leverage
Leverage Used
Used Dynamic Margin Percentage
0-14
0.2%
1:500
1:100
1:100
1%
14–43
0.4%
1:250
1:100
1%
43–70
2%
1:50
1:50
2%
70+
100%
1:1
1:1
100%

Example 4: USD base currency account with 1:100 account leverage, trades 75 lots of BTCUSD at 65,000 USD.

Lots
Dynamic Margin Percentage
Actual Used Margin
14
1%
Lots x Contract Size x OpenPrice x MarginPercentage = 14 x 1 x 65,000 x 1 % = 9,100 USD
29
1%
Lots x Contract Size x OpenPrice x MarginPercentage = 29 x 1 x 65,000 x 1 % = 18,850 USD
27
2%
Lots x Contract Size x OpenPrice x MarginPercentage = 27 x 1 x 65,000 x 2 % = 35,100 USD
5
100%
Lots * Contract Size * OpenPrice * MarginPercentage = 5 * 1 * 65,000 * 100 % = 325,000 USD
Total Margin = 388,050 USD

Dynamic Margin for Equity Index, Thematic Index, and Cash Energy CFDs

At ABET Global, the leverage for the Equity Index, Thematic Index, and Cash CFDs is automatically adjusted. The leverage applied is the lower value between your trading account leverage and the leverage of the specific CFD symbol being traded.

Margin calculations are performed separately for each instrument. Therefore, if you hold multiple positions, the margin is independently calculated for each one.

The dynamic margin formula is as follows:

Margin Requirement = Lots x Contract Size x Open Price Lots x Contract Size x Open Price Lots x Contract Size x Open Price ÷ Lower of (Account Leverage, Symbol Leverage) Lower of (Account Leverage, Symbol Leverage) Lower of (Account Leverage, Symbol Leverage)

For example:

  1. A client trades 10 lots of US30Cash at an opening price of 34,500 USD, with an account leverage of 1:200 and symbol leverage of 1:500.
    • Required Margin = (10 x 1 x 34,500) ÷ 200 = $1,725
  2. A client trades 15 lots of US30Cash at an opening price of 34,500 USD, with an account leverage of 1:888 and symbol leverage of 1:500.
    • Required Margin = (15 x 1 x 34,500) ÷ 500 = $1,035

Understanding Leverage:

Leverage allows traders to control positions much larger than the actual funds in their trading accounts. It is represented as a ratio, such as 1:50, 1:100, or 1:500. For instance, with $1,000 in your account, trading a position size of 500,000 USD/JPY would imply a leverage of 1:500.

At ABET Global, you can trade on margin by accessing short-term credit, enabling you to trade amounts exceeding your account balance. Without this margin facility, you would only be able to manage positions equal to the funds in your account.

ABET Global continuously monitors client leverage ratios and reserves the right to adjust them at its discretion, including reducing leverage on a case-by-case basis without prior notice.

ABET Global Leverage Options:

ABET Global offers flexible leverage options ranging from 1:1 to 1:1000, depending on the type of account you choose. Margin requirements remain consistent throughout the week and are not affected by overnight or weekend trading. Clients also have the option to request adjustments to their leverage levels.

Leverage Risk Considerations:

Leverage can amplify profits from a relatively small initial investment, but it also increases the potential for significant losses if risk management practices are not followed. ABET Global offers a wide range of leverage options to accommodate various risk preferences but advises against trading near the maximum leverage of 1:1000 due to the heightened risks involved.

Real-Time Margin Monitoring and Risk Management:

At ABET Global, you can effectively manage your risk by tracking your real-time used and free margin. The used margin represents the funds required to maintain a trade, calculated based on your leverage (e.g., at 1:100 leverage, 1% of the trade size is held as margin). The free margin is the remaining balance in your account, which adjusts according to your equity. This free margin can be used to open new positions or cover potential losses.

Margin Call Policy

While clients are responsible for monitoring their trading activities, ABET Global enforces a margin call policy to prevent your risk from exceeding your account’s equity. If your account equity falls below 50% of the margin required for your open positions, you will receive a margin call alert to notify you of insufficient equity.

Stop-Out Level Protection

The stop-out level is the point at which ABET Global automatically closes open positions to protect against further losses. This occurs when the equity in your account drops to or below 10 to 20% based on account types.