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Zenfinex Global Limited regulated by the Financial Services Authority (FSA) of Seychelles (SD092)
Zenfinex Global Limited regulated by the Financial Services Authority (FSA) of Seychelles (SD092)
Discover how dynamic margin significantly impacts the management of your positions.
Dynamic margin provides a systemic approach to calculating margin requirements, ensuring that the margin rates align with your position size and hedging strategy. It allows for greater flexibility and precision in managing your trading portfolio while maintaining risk management standards.
Position size, or market exposure, is crucial in determining margin requirements. The larger your market position, the more margin you need.
When dealing with partially or fully hedged positions, you should keep in mind: The hedge side of a trade can be closed (fully or partially) only if the remaining free equity in the account post-closure is sufficient to cover the revised margin requirements. Alternatively, you may need to top up your account to maintain sufficient equity or close both sides of the hedged trade with realised losses.
You open a 1-lot position on US30 with $900 in your account.
You open your first trade on US Tech 100 with $900 in your account. Later, you deposit $5,000, bringing your total equity to $5,900, and open a second trade.
