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The so-called margin trading, refers to the market maker signed with the bank, a trust and investment account, deposit a sum of money (margin) as a guarantee, the bank (or market maker) setting credit operation line. Investors can be freely traded the same value in the amount of foreign exchange or precious metals, gains or losses caused by operation, will be automatically deducted from the deposit or investment account. Margin trading can also be understood as the use of financial leverage principle, the investor funds to expand, let small investors can use smaller funds, obtain larger transaction amount, according to the commodity price fluctuations, to obtain the margin of profit.

Fairfield provides the leverage ratio of 100 times, namely the minimum margin requirement is 1%, investors for $1000, you can make up to $100000 in trading, and make full use of the large lever effectiveness. In addition to capital magnification, margin trading another most attract investors feature is a two-way operation, can be bought in the currency rising profits (long), also can sell at a profit on the currency fell (short), which do not have to be restricted and cannot make money called a bear market, provides greater profitability space and opportunities.

Along with the international trade increasingly frequent contacts and global financial market integration, the foreign exchange market has become the world's largest financial market, plays a key role in the capital transnational flow program. Because of its coherence across five continents, 24 hours of nonstop trading pattern, market behavior is fair and transparent and liquidity and smooth, liquidation system T+0, early in foreign countries is the most popular investment tool. However, the daily fluctuation of commodity is small, such as the full investment trading returns is smaller, so the general foreign exchange transaction amount is large, but not the majority of small investors can use, so many investment institutions and individual investors choose the margin trading system, the lever principle for capital appreciation and risk aversion.

Margin trading has its advantages and disadvantages, can greatly expand the profit, but also can greatly expand the losses. Transactions may not be suitable for all investors by any proportion of lever.

*High Risk Investment Warning

Margined foreign exchange, CFD or spread trading involves high risk and may not be suitable for all investors.

Situation that may arise, including some or all of your deposited funds suffered losses, so you will not be able to bear the loss should not speculate with capital.

Fairfield deciding to trade the products offered, you should carefully consider your investment objectives, financial situation, needs and trading experience.

Should be aware of all the risks associated margin trading.

Fairfield provides general recommendations without regard to your investment objectives, financial situation or needs.

Fairfield recommend you seek advice from an independent financial adviser.

Fairfield Financial Services LLP by the UK Financial Conduct Authority (FCA) is authorized and regulated, company registration number: 505523.

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