27/07/2018 ESMA regulations

27/07/2018 ESMA regulations

We would like to draw your attention to the entry into force of the ESMA regulation (European Securities and Markets Authority) regarding products on CFDs and binary options. The regulation was published on June 1, 2018. This is a legal requirement that Patron FX (FOREX TB) will implement all necessary procedures from July 30, 2018. This means the following changes - CFDs:  Leverage level changes (that depend on the volatility of the underlying instrument):

30: 1 for major currency pairs;

20: 1 for other currency pairs, gold and major indices;

10: 1 for commodities other than gold and other stock market indices;

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The principle of automatic transaction closing - Margin Call. When the value of the deposit adjusted for unrealized gains / losses becomes less than 50% of the margin all open transactions, the client's transaction or transactions will be closed automatically, at the current or the closest possible price. Protection against Negative Deposit for each account. This means that the account value cannot fall below zero, and thus the Client cannot indebt its debt in relation to the Patron FX. As indicated by the Cyprus Securities and Exchange Commission in Circular C271, the rules will apply to both retail customers’ residents in the European Economic Area and residents of third countries. If you have additional questions, we remain at your disposal

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Trade Responsibly: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 57% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.