ESMA is an independent Authority of the European Union, which contributes to keeping the EU financial system stable by enhancing the protection of investors and promoting stable and ordered financial markets.
ESMA’s new requirements consist of reducing available leverage limitations for Retail clients of financial organizations. New limitations depend on the volatility of an underlying asset and are the following:
Major Currency pairs - up to 1:30.
Non-major Currency pairs, Gold, major Indices - up to 1:20.
Commodities, other than Gold, non-major Indices - up to 1:10.
Other individual assets - up to 1:5.
Apart from the changes of the leverage limitations, financial organizations will be obliged to provide on a per account basis Margin Call and Stop Our features, on a per account basis Negative balance protection, and implement the standardized risk warning.
ESMA’s new requirements will take effect on August 1st 2018.
New requirements apply to all RoboMarkets Retail clients regardless of their country of residence.
New leverage limitations won’t be applied automatically to open positions, and their margin requirements will remain the same until you close them.
Only the clients who have been qualified as "Professional clients" can keep the current trading conditions.
RoboMarkets provides its clients with an opportunity to undergo a "re-categorization" procedure and be qualified as "Professional" instead of "Retail". You can read more about re-categorization conditions on "How to become a Professional client?" page of our website.
To be qualified as a Professional Client, you have to meet at least two of the criteria below:
Please, note that you will have to provide the supporting documents to pass the re-categorization procedure. You can send your request right now in your Members Area.
You can read more about re-categorization conditions on "How to become a Professional client?" page of our website.
Yes, you will be able to continue trading on any of your open accounts.
No, the Company doesn’t apply any time limitations to passing the procedure. The possibility to change the category from "Retail" to "Professional" clients is not linked to the implementation of the ESMA’s new requirements.
Our consultant will answer your question shortly.