GB Referendum and changes in leverage
On 23rd June, the UK will hold a referendum to decide whether it remains or exits the European Union. We have already seen anс and expect this to continue in the days ahead. Whilst these market conditions will present many trading opportunities, you should be aware that they may also result in wider spreads and periods of reduced liquidity, with increased probability of gap risk. Please make sure you are comfortable with the risks linked to expected market volatility, so that you may reduce or close your positions, if necessary.
FXFINPRO Capital will raise the margin required on all GBP and EUR currency pairs and Equity Index CFDs as late as possible on the day of 23rd June, and limit maximum position sizes.
Details of the margin rate changes and timings:
On 22nd of June at 18:00 (GMT+3) the maximum allowed leverage will be 1:10 for all GBP currency pairs and 1:20 for all EUR currency pairs. The maximum allowed leverage for European Equity Index CFDs will be reduced to 1:10, Non-European Equity Index CFDs to 1:20, Spot Gold and Gold Mini to 1:30. (All margin rates are subject to further review depending on market conditions, and may be changed without prior notice.)
The change of leverage will apply to new and existing open positions.
Please note that the change of leverage may result in an automatic liquidation of positions, if there are not sufficient funds to meet the new requirements. We therefore kindly request that you review your positions and take any necessary measures to ensure you have sufficient margin to maintain your positions.
These temporary risk parameters may persist over the weekend of 25th and 26th of June depending on the market reaction to the referendum result. However, FXFINPRO Capital reserves the right to prolong or reconsider the special leverage conditions found necessary based on the market reaction to the results of the vote.
If you have any questions, please do not hesitate to contact our Support Team by calling +357 25262102 or emailing email@example.com