Clients can choose to set their desired leverage rate up to 500:1, however we do impose some restrictions in order to limit risk and exposure both on behalf of the company and the client. There are defined bands as below:
| Account balance or equity | Maximum leverage |
| $0-$49,999 | 500:1 |
| $50,000-$199,999 | 200:1 |
| $200,000-$999,999 | 100:1 |
| $1,000,000+ | 50:1 |
In the event that an account goes above the maximum balance or account equity for its leverage setting, we may take the decision to reduce the leverage. In such events, we will inform the account and give suitable notice before making any such change. As per the margin call policy which is available to clients on our website:
A margin call will be triggered if the following criteria are met. It is important to note that proper risk management and placing of stop losses reduces the need for a margin call on a traders account. We advise all clients and traders to strictly adhere to margin requirements when trading:
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Minimum Margin Requirements on Open Positions must be maintained by the customer at all times.
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All open positions are subject to liquidation by ThinkMarkets should the Minimum Margin Requirement fail to be maintained.
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Margin requirements may change at any time. ThinkMarkets will do its best to inform the customer about any projected changes by email and via the trading platform's message system at least a week before changes go into effect.
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ThinkMarkets will liquidate all Open Position in a customer's account if the total equity, at any time, equals or falls below 50% of the Used Margin. All positions on hedged accounts will be closed if account equity falls into negative. Positions will be closed based on the best execution prices available at the time to ThinkMarkets.
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The placing of Stop Loss Orders, used to minimize losses, is the client’s responsibility.
Special Conditions:
In certain cases we may, following discussions, agree to allow a higher leverage level than the typical conditions as detailed. We may also offer a lower or higher stop out level than the typical 50%. In such cases the client must agree to the potential additional risks involved via email or recorded phone call before any changes are made.
We can choose to give more or less leverage at our discretion and can trigger a margin call in any situation where the client does not cover at least 100% of the margin requirement to hold positions.