Leverage enhances buying power by giving strategy providers the ability to trade large volumes with a smaller amount of funds. It is expressed as a ratio of their own funds to borrowed funds, i.e 1:50, 1:100, 1:200 etc.
The leverage rate is set by the strategy provider when they create the strategy, and cannot be changed.
Leverage in Social Trading
hen a strategy provider trades, they can sometimes use a lower leverage rate due to fixed margin requirements. Fixed margin requirements exist for some instruments, such as the Exotic and Crypto instrument groups, regardless of the level of leverage used.
To find out more about leverage generally, click here.