eToro to introduce currency trading with x1 leverage

eToro

Social investment expert eToro today unveiled plans to offer currency trading with x1 leverage (in other words, with no leverage).

The new offer will be available from August 16, 2015 (Sunday).

As a result, traders will be able to invest in currencies using only their own funds, without any added risk associated with leverage.

Here is an example of a transaction with x1 leverage that the company provides:

Say the EUR/USD buy rate is 1.1000 and a trader decides to invest $1,000 in a long position, then he/she will effectively buy 910 Euro for the price of $1,000.

The broker notes that the minimum amount for a currency position will remain $25, even for x1 leverage.

The introduction of zero-leverage currency trading underlines the efforts of eToro to cut risks for social traders. In June this year, the company implemented a set of changes to the trading conditions for its investment platform, including making high-risk profiles unavailable to copy.

To view the original announcement by eToro on the no-leverage trading, click here.

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