Gearing

The ability of a trader or an investor to use the leverage in their margin account to open a larger CFD position (Total Monetary value exposure) that exceeds the value of their accounts capital. For example, when trader or investor opens a position with a value of $10,000 by putting down a margin deposit of $1000 they are gearing or leveraging their account to ratio of 10:1.

By |2018-09-04T13:47:52+00:00September 4th, 2018|0 Comments

About the Author:

SCM_2018

Leave A Comment