Margin is the amount reserved in your trading account to open and maintain orders. It’s calculated in the account’s currency based on the trading instrument and leverage. Margin acts as a deposit, not a fee, and is returned after an order is closed, provided losses don’t consume it.
Calculating margin
For quick margin calculations, create a Fortuno account and use our margin calculator on our Fortuno Terminal trading platform.
Dynamic margin requirements
Dynamic margin requirements change as leverage changes:
Higher leverage = Less margin required.
Lower leverage = More margin required.
Instruments with dynamic margin requirements have a minimum leverage of 1:2 and a maximum leverage of 1:10,000 (unlimited).
Dynamic margin applies to specific instruments, such as:
– Metals: Gold (XAUUSD), Silver (XAGUSD)
– Major currency pairs: EURUSD, GBPUSD, AUDUSD, USDCHF, USDJPY
Conditions for leverage change under dynamic margin requirements include:
– When your trading account’s equity changes.
– During the release of important economic news.
– 3 hours before and after weekend market closures, daily breaks, and holiday breaks.
Formula: Margin = Lots × Contract Size / Leverage
Example: For 2 lots of EURUSD at 1:500 leverage: Margin = 2 × 100,000 EUR / 500 = 400 EUR
You can view the contract size of an instrument in the Instrument Details tab on the Fortuno Terminal trading platform.
Fixed margin requirements
Fixed margin requirements remain unchanged regardless of leverage.
Fixed margin applies to specific instruments, such as:
– Minor currency pairs
– Cryptocurrencies
– Commodities (energies and some metals)
– Stocks
– Indices
The margin depends on the specific symbol and is unaffected by leverage (including unlimited leverage) for these instruments.
Formula: Margin = Lots × Contract Size × Required Margin
Example: For 0.5 lots of GBPUSD with a 1% margin requirement (1:100 leverage); Margin = 0.5 × 100,000 × 0.01 = 500 GBP
Margin requirements for fully hedged orders equal 0%. Partially hedged orders margin applied to the unhedged part.
Higher margin requirements (HMR)
HMR refers to periods when higher margin amounts are required, typically capping leverage to mitigate risks during volatile events.
Instruments and their leverages during HMR
| Instrument group | Instruments | Leverage during HMR |
| Forex Majors | EURUSD, GBPUSD, AUDUSD, USDCHF, USDJPY | 1:250 |
| Metals | XAUUSD, XAGUSD | 1:250 |
These periods occur during:
News releases
Orders opened 15 minutes before and after high-impact news have HMR applied, capping the leverage for Forex Majors and Metals at 1:250. After HMR, margins are recalculated based on the account’s equity and leverage 15 minutes after the news release.
The period of high margin requirement (HMR) is dependent on different events. HMR may last longer based on risk management decisions.
Market closures
Market closures include weekends, public holidays, and daily breaks (which occur at various times depending on the instrument). Instruments typically experience HMR 3 hours before closure and after reopening (periods may be shorter during daily breaks), except for cryptocurrency instruments which are not subject to weekend closures.
Check out our instrument trading hours for more information on daily break timing, and weekend schedules.
HMR applies to positions opened during this time. After the period ends, margins are recalculated based on equity and selected leverage.
You can check the following sources to learn about HMR periods:
– Economic calendar
– Instrument details tab on the Fortuno Terminal trading platform