RE: CHARTS -T LINE TIPS21 Jul 2018 10:19
Straddle strategy well and truly dead as far as IG and other euro spreadbetting providers are concerned
new rules from saturday 28 july according to ig see below
New minimum margin rates come into effect on 28 July
Dear Lefkosia
Now that the European Securities and Markets Authority’s (ESMA’s) new rules on leveraged trading are about to come into force, we wanted to let you know that new minimum margin rates will apply to your account from 28 July 2018.
Please note that these changes will not apply to professional clients.
New margin rates for retail clients
Please see the table below for details of the changes that will come into effect on 28 July. The new rates will apply to new positions only – any existing positions you hold now, or at the time of the increase, will not be affected.
Asset class Current minimum margin rate Minimum margin rates from 28 July
Major FX – currency pairs containing any two of the following: USD, EUR, JPY, GBP, CAD, CHF 0.5% 3.33%
Minor FX – all other currency pairs 1% 5%
Major indices – FTSE 100, France 40, Germany 30, EU Stocks 50, Wall Street, US 500, US Tech 100, Japan 225, Australia 200 0.5% 5%
Minor indices – all other indices 1% 10%
Gold 0.7% 5%
Commodities 1.5% 10%
Shares 7.5% 20%
Cryptocurrencies 35% 50%
Other markets 0.25% 20%
You can find out more about all of ESMA’s new rules, along with worked examples, on our website.
The following margin policy changes will also come into effect from 28 July:
• If you open any new offsetting positions (long and short on the same market) then you will be required to cover the full margin on both legs. Existing positions will be unaffected.
• Any position that is rolled over will be subject to the new minimum margin rates. If you do not have sufficient funds to support the new positions at the increased rates, your positions will be at risk of closure.
• Any new position will not benefit from a margin reduction as a result of adding a non-guaranteed stop.
Guaranteed stops
If you trade using guaranteed stops, position closure will now be triggered under slightly different terms from 1pm on Monday 30 July. When we calculate account equity today, we do not currently include running losses on positions with guaranteed stops. Under the new ESMA requirements, such positions will need to include running losses as part of the deposit ratio calculation. This means that your positions will be closed out when your cash, including all profit and loss, reaches 50% of your margin requirement.
Important information about professional clients
Please note these changes only affect retail clients of EU firms (that are subject to ESMA regulation), and do not apply to professional clients.
If you think you may be eligible and would like to apply to be categorised as a professional client, you can elect to do so in My IG or the IG Trading app. You’ll need to answer some questions, so that we can properly assess whether you fulfil
Sign In
Follow the stocks
