Maximum 1:1,000 leverage trading with XM

You can enjoy leverage trading to the full extent with taking the advantage of high leverage which is available on the stable trading environment of XM.

XM offers 16 kinds of leverage setting in Standard Account, Micro Account, XM Ultra Low Account Standard and XM Ultra Low Account Micro.

Wide range of 1:1 to 1:1,1000 leverage is available depending on the risk management attitude of traders. 

Relationship between leverage and margin money

Higher leverage requires smaller margin money, on the other hand, lower leverage requires bigger amount of margin money in the leverage trade.

You can trade with maximum 1:1,000 leverage in Standard Account, Micro Account, XM Ultra Low Account Standard and XM Ultra Low Account Micro with XM. The big advantage of leverage trading is to be able to generate a big profit with a minimal amount of margin.

You can expect high leverage effect through 1:1,000 leverage of XM among other FX brokerage houses.

You can start with minimal margin

One of the attractive features of leverage trade is that you can start trading with minimal amount of margin money.

There is an apparent difference between XM and other FX brokerage houses when you trade in the same number of lots.

It is possible to trade USD/JPY 10,000 with just JPY 1,100 funds with XM.
On the other hand, you will need more than JPY 40,000 to trade the same 10,000 currency unit through other brokerage houses with 1:25 leverage.

You can expect a big amount of profit in a short term

The advantage of leverage trade is that you can expect a big amount of profit in a short term. The trade amount and, profit and loss in leverage trade depend on the size of leverage and as the result the profit you can expect could become bigger.

For example, if you trade normally without leverage with your fund of JPY 100,000, you can trade in USD 1,000 worth. When you buy USD 1,000 at the time of USD 1 = JPY 100 and sell the same amount of USD at 101.00, you will make a profit of JPY 1,000.

Leverage limitation through equity

XM sets a leverage limitation depending on the equity for FX currency pairs and spot metals (gold and silver).

When the equity (margin balance including profit and loss of existing positions) of trading account goes above USD 20,000, maximum leverage will be reduced to 1:200, and when the equity goes above USD 100,000, maximum leverage will be reduced to 1:100.

Leverage limitation through equity

Leverage limitation through equity will not be levied on margin amount of each individual trading account, but on the total balance of all aggregated balance within the same account (equity).

Caution is needed as equity includes bonus amount given to the accounts and unrealized profit and loss (unrealized profit/loss of existing positions).

Timing of leverage limitation change arises

Leverage limit change arises with XM when the total of all aggregated equity balance within the same trading account goes above the threshold.

Exercise of leverage limit change will be informed through e-mail or other ways in advance, however there would be some urgent cases where there is no previous information for the leverage limit change. Thank you for your understanding in advance.

How to release the leverage limit

Once the limitation becomes in place, the limit will not be released automatically even when the equity goes below the threshold through withdrawal of deposit or decrease of unrealized profit.

If you wish to release the leverage limitation, you need to push down the equity amount below threshold and send the mail to XM Support Desk. Leverage limitation cannot be released unless there is a mail request from client.

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Leverage limitation differs depending on description

XM sets a smaller maximum limit on some FX currency pairs and CFD products due to limited liquidity and volatility in the market.

Leverage of FX currency pairs

Leverage ratio set on the trading account will be available for the most actively traded major FX currency pairs and you can enjoy maximum 1:1,000 leverage.

FX currency pairs (major currencies)

FX currency pairs (minor/exotic currencies)

Different leverage ratios from initial leverage setting in the account will be applied to each description of minor/exotic currencies.

For your information, maximum leverage limit is the same for all the account types. So please be noted when you trade the descriptions below.

Leverage of CFD (descriptions)

Initial leverage setting in the account will not be applied to CFD trading. Fixed leverage ratio will be applied regardless of account types or equity.

Leverage of Precious Metals CFD

GOLD can be traded with maximum 1:1,000 leverage and SILVER with 1:400 leverage in precious metal CFDs. Palladium and platinum can be traded 1:22.2 effective leverage regardless of account types or equity.

Leverage of Stock Indicies (cash) CFD

You can trade cash and future products in stock indices. Same leverage ratio applies both to cash and futures for the same description.

Leverage of Stock Indicies (futures) CFD

Leverage of Energies CFD

Crude oil and natural gas can be traded with maximum 1:66.7 and with 1:33.3 leverage respectively in energy CFD products.

Especially crude oil market moves tremendously within a short time, therefore there is a possibility that you can make a big profit with high leverage.

Leverage of Cryptocurrencies CFD

Different leverage ratios will be applied depending on the description. Bitcoin, Ethereum, XRP and Litecoin can be traded with maximum 1:250 leverage and other altcoins can be traded with maximum 1:50 leverage. For your information, dynamic margin ratio will be applied to cryptocurrency CFDs.

How to open XM trading accounts

1. Register online and Open an account
    You must choose an account type in this process.

2. Login to XM’s client portal and Submit a copy of ID and Proof of address.

3. Make a deposit through Bank wire transfer, Online wallet or credit/debit cards.
　Instead of making a deposit, you can also start trading by receiving $30 No Deposit Bonus.

4. Login to XM’s MT4 or MT5 platform and start trading.

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FAQ

Are there any leverage limitation with XM?

XM does not have any leverage limitation as other FX brokerage houses have and provides with maximum 1:1,000 leverage.

However there could be the cases that your leverage will become limited when your equity goes above certain amount, you are trading minor currency pairs or important political event occurrs.

Is leverage 1:1,000 available for all the currency pairs?

Conclusion

You can enjoy leverage trading to the full extent with taking the advantage of high leverage which is available on the stable trading environment of XM.

＼Open an account for free／Open an account with XM