In the event of economic news, market volatility, or high-frequency trading, the Liquidity Provider will adjust leverage accordingly, as below:
- The Company reserves the right to change the leverage on clients’ trading accounts (both increases and decreases) without prior notice, in accordance with the conditions specified on the website www.iux.com.
- Automatic leverage changes, whether initiated by the Company’s rules or by clients through their personal area, will result in a recalculation of margin requirements for all open positions.
The Company reserves the right to take the following actions:
- Set leverage in the client’s trading account at no more than 1:800 during periods of extreme market volatility prior to the announcement of significant economic news, which shall apply only to new buy–sell orders; and within 2 (two) hours before market close and 1 (one) hour after market opening, including weekends and market breaks, at no more than 1:500 or reduced by up to 3 times from the original leverage, which shall apply only to positions opened during such periods. Upon conclusion thereof, the system shall recalculate margin requirements based on equity and the selected leverage. Such changes shall affect transactions to be opened within the aforementioned 2 (two) hours and 1 (one) hour.
- Limit the offered leverage and/or increase the margin requirement before macroeconomic events and/or news that could significantly impact the price of a financial instrument.
- Leverage for USOIL (CFD) and UKOIL (CFD) is normally set at 1:500 and will be adjusted to 1:50 two (2) hours before market close and one (1) hour after market open, including during periods of high volatility during news events. The exception is UKOIL (CFD), for which leverage will be adjusted to 1:50 30 minutes after market open, in accordance with company policy. This applies only to positions opened during this period. After closing, the system will recalculate the margin based on the selected equity and leverage.
- Leverage for stocks (CFD) is normally set at 1:20 and will be adjusted to 1:50 two (2) hours before market close and one (1) hour after market open, in accordance with company policy. This applies only to positions opened during this period. After closing, the system will recalculate the margin based on the selected equity and leverage.
- Leverage for Thematic (CFDs) is normally set at 1:50 and will be adjusted to 1:5 one hour before the market closes and one hour after the market opens.
- Leverage for Thematic Minor (CFDs) is normally set at 1:10 to 1:50 and will be adjusted to 1:5 one hour before the market closes and one hour after the market opens, except for US500_20X (CFD), GERMANY40_15X (CFD), CANNABIS_GLB_3X (CFD), and OIL_ETF10X (CFD), which will use the normal fixed leverage. This change only applies to new trades.
- Leverage for Indices (CFDs) is set between 1:200 and 1:400 normally and will be adjusted to 1:50 2 (two) hours before market close and 1 (one) hour after market open, except for DXY (CFDs), which will have a fixed leverage as normal, which will only apply to positions opened during this period. After expiry, the system will recalculate the margin based on the selected equity and leverage.
If you have any questions or concerns, please contact us at [email protected].