LeapRate has learned that FCA and CySEC regulated Retail FX and CFDs broker FxPro has indicated to its clients that it will be raising margin requirements on JPY currency crosses, as well as on spot metals and indices, ahead of Japan’s general election set for next Sunday, October 22.
The margin changes will come into effect on Friday, October 20, 2017 at 15:00 GMT, and will affect both new and existing positions.
The FxPro note to clients on the matter reads as follows:
Our Trading Desk Alerts
FxPro Trading Conditions During the 2017 Japanese General Election
Dear Client,
The upcoming Japanese General Election, which will be held on Sunday, October 22, 2017, might cause periods of volatility in the financial markets and affect available liquidity.
We would like to inform our traders that the margin requirements of the below instruments on all FxPro platforms will change as follows:
Instrument
Margin Required
ALL JPY crosses
1%
Spot Metals
1%
Indices (Spot & Futures)
2%
This change will come into effect on Friday, October 20, 2017, at 18:00 (GMT+3) and will affect both new and existing positions.
While we make all possible efforts to keep spreads at a minimum, please note that wider spreads may be observed across several instruments.
Prior to and in the aftermath of the election, FxPro reserves the right to allow fixed spreads to float to reflect underlying market conditions.
In case of extreme volatility and illiquidity, FxPro reserves the right to refuse the opening of new positions, enabling ‘Close Only’ functionality.
Please note that, should market conditions deem it necessary, FxPro reserves the right to make additional changes to our trading conditions in the days prior to and after the Japanese General Election.
We strongly advise you to monitor any open positions that you may have and visit the FxPro Blog frequently for any important updates. We shall also be notifying you via email, should any other changes to the current margin requirements come into effect.
If you have any questions, please contact our Customer Support team, who can be reached 24/5 by live chat, by calling +44 (0) 203 151 5550, or via email at [email protected].
