At Ultima Markets UK, leverage for retail clients ranges from 1:1 to 30:1 for major currency pairs, with lower limits for other instruments. Leverage enables controlling larger positions with less capital but increases both potential profits and losses. Leverage options may change due to regulations or market conditions; for details, contact their support.
What affects available leverage
| Factor | Explanation |
|---|---|
| Account type | Different account types may have different leverage options. |
| Underlying asset | Leverage may vary by product, such as forex, indices, commodities, or other CFDs. |
| Regulatory requirements | Retail clients are subject to leverage limits set by applicable regulations. |
| Market conditions | Leverage options may change due to risk controls or market conditions. |
How leverage works
Leverage allows you to control a larger position size with a smaller amount of capital, known as margin.
| Impact | Explanation |
|---|---|
| Lower margin requirement | Higher leverage reduces the margin required per trade. |
| Larger position exposure | You may control larger positions with the same amount of funds. |
| More simultaneous trades | Lower margin requirements may allow more positions to be opened. |
| Higher risk | Larger exposure means both profits and losses may increase faster. |
Important notes
- Higher leverage can increase both potential profits and potential losses.
- Leverage does not increase your account balance.
- Using higher leverage may increase the risk of margin call or stop-out.
- Leverage options may change due to regulatory requirements or market conditions.
- Product-specific leverage information should be checked before trading.