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Floating leverage

Alpari UK uses a floating leverage system on MetaTrader 4 Micro, Classic and Pro accounts. This system automatically applies higher leverage on a trade by trade basis depending on your trade volume.

Floating leverage on forex

When you’re trading forex, an open position of less than USD3 million nominal value carries a maximum leverage of 1:500.

An open position of USD3 million to USD5 million carries a leverage of 1:500 for the first USD3 million and a leverage of 1:200 for the remaining USD2 million.

An open position of USD5 million to USD10 million carries a leverage of 1:500 for the first USD3 million, a leverage of 1:200 for the next USD2 million and a leverage of 1:100 for the remaining USD5 million.

For open positions higher than USD10 million, the first USD3 million carries a leverage of 1:500, the next USD2million carries a leverage of 1:200, the next USD5 million carries a leverage of 1:100. Everything above carries a leverage of 1:33.

For example, if you open a position of USD12 million (for example, 120 lots in USDCHF), your margin requirements will be:

Nominal value of open positionFunds required to open positionMaximum leverage offered
First USD3 million = 3,000,000 / 500
= USD6,000
1:500
Next USD2 million = 2,000,000 / 200
= USD10,000
1:200
Next USD5 million = 5,000,000 / 100
= USD50,000
1:100
Remaining USD2 million = 2,000,000 / 33
= USD60,606
1:33
TOTAL: USD12 million = USD126,606

 

 Floating leverage Graph

Floating leverage on spot gold and silver

An open position of less than USD2 million nominal value carries a maximum leverage of 1:200 (0.50% margin).

An open position of USD2 million to USD4 million carries a leverage of 1:200 for the first USD2 million and a leverage of 1:100 (1% margin) for the remaining USD2 million.

An open position of USD4 million to USD9 million carries a leverage of 1:200 for the first USD2 million, a leverage of 1:100 for the next USD2 million and a leverage of 1:50 (2% margin) for the remaining USD5 million.

For open positions higher than USD9 million, the first USD2 million carries a leverage of 1:200, the next USD2 million carries a leverage of 1:100 and the next USD5 million carries a leverage of 1:50. Everything above carries a leverage of 1:33 (3% margin).

For example, if you open a position of USD12 million nominal value, your margin requirements will be:

Nominal value of open positionFunds required to open positionMaximum leverage offered
First USD2 million = 2,000,000/200
= USD10,000
1:200 (0.50% margin)
Next USD2 million = 2,000,000/100
= USD20,000
1:100 (1% margin)
Next USD5 million = 5,000,000/50
= USD100,000
1:50 (2% margin)
Remaining USD3 million = 3,000,000/33
= USD90,909
1:33 (3% margin)
TOTAL: USD12 million = USD220,909

Please be aware that if your account leverage is lower than 1:200, the maximum leverage on precious metals will be equal to your account leverage.