Leverage and Margin
TRADING ON LEVERAGE
You can trade Forex and CFDs on leverage. This can allow you to take advantage of even the smallest moves in the market. When you trade with FXCM, your trades are executed using borrowed money. For example, 100:1 leverage allows you to trade with $10,000 in the market by setting aside only $100 as a security deposit.
All new accounts are defaulted to 400:1 leverage on FX and 200:1 leverage on CFDs. Accounts that are funded in excess of 20,000 CCY will be moved to 100:1 leverage on FX. The leverage on your account will then be adjusted based on the equity in your account. FXCM reserves the final right, in its sole discretion, to change your leverage settings.