ESMA amends the rules for CFD trading

Following the decision of the European regulator for capital markets ESMA, with effect from August 1, 2018, the following changes will apply:

– change of the maximum leverage limits as follows:

  • 30: 1 for major currency pairs – in these the underlying asset consists of two of the following currencies: USD, EUR, JPY, GBP, CAD, CHF (for example EUR/GBP, CAD/JPY but not CZK/EUR, EUR/RUB);
  • 20: 1 non-major currency pairs, gold and major indices – major index is any of the following indices: FTSE 100, CAC 40, DAX30, DJIA, S&P 500, NASDAQ, NASDAQ 100, Nikkei 225, ASX 200, EURO STOXX 50. All other indices are non-major;
  • 10: 1 for commodities other than gold and non-major equity indices;
  • 5: 1 for individual individual equities and other reference values.

– change of stop out level to 50% (from the previous 30%).

These changes will be adopted on platforms during the weekend 28. – 29.7.2018 and apply only to retail clients, i.e. not to professional clients, including elective professional clients.

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