Margin Requirements Change Ahead of Brexit

15 June, 2016

The uncertainty surrounding the upcoming EU Referendum in the UK (Brexit) on June 23, 2016 has the potential to generate increased volatility and turbulence in the financial markets.

The referendum will take place in the UK to determine whether the British population wishes to maintain their European Union membership or not.This major political event is expected to affect the financial markets and may result in high volatility, price gaps/spikes, lack of liquidity, widened spreads or other movements in the markets.

In order to protect our clients and the Company, we will lower the leverage for the whole referendum week. This change will affect both existing and new orders.

Starting from market open on June 20 until market close on June 24, our standard leverage rates will be reduced as follows:

  • all GBP pairs – from 1:500 to 1:25 (4% margin requirement)
  • all EUR pairs – from 1:500 to 1:100 (1% margin requirement)
  • UK100 index – from 1:100 to 1:20 (5% margin requirement)

Accounts that do not have a standard leverage setting will have their leverage changed by the same proportion as indicated above.

Depending on the market conditions, we may enforce close-only regime for certain currency pairs or indices. Large accounts that accumulate substantial market exposure may see their account leverage lowered further, subject to prior warning.

Please also consider that Bid/Ask spreads will most likely be considerably wider during market volatility, which could affect even hedged positions.

Because of this change, you may need to close trades or add funds to your account or risk a possible margin closeout if you currently have an open GBP, EUR or UK100 positions with higher levels of leverage and do not have enough funds in your account to cover the increased margin requirements. We strongly advise you to perform the necessary funding actions well in advance, in order to ensure your account will be well funded before the leverage is lowered.

The affected pairs will return to prior leverage levels after the market close on June 24, 2016.


Source  
Tickmill's Partnership with Patrick Munnelly

As part of our mission to give our global client base access to top-level trading education, we have formed an exclusive partnership with the renowned...

Tickmill's Client Celebration Dinner

In recognition of some of our most loyal Clients in Asia, Tickmill hosted a VIP Gala Dinner in Malaysia's capital city, Kuala Lumpur. As a broker who always...

Tickmill Reports Strong Performance

Tickmill Group once again surpasses previous financial records, posting growth in key financial metrics. The unaudited consolidated net profit for the first...


Tickmill MENA Client Celebration Dinner

As a company, Tickmill is always aiming to enhance the experience of our traders through tailoring our services and product portfolio. This time...

Tickmill's Educational Tours

Tickmill is delighted to announce that our "Boosting Your IB Success" and "Practical Tools for Profitable Trading" seminars were heralded as...

Tickmill seminar in Nigeria

We are pleased to announce another successful touchdown in Africa, in Lagos, Nigeria, only a few months after our full-house seminar in Tanzania...


Tickmill Educational Tour in Malaysia!

The Tickmill Global Tour continues, this time taking us to Kuala Lumpur, Malaysia on July 27! With two separate eventsscheduled for both Traders...

New Heights of Tickmill Performance

Tickmill Group ended 2018 by posting significant growth as evidenced by remarkable increases in all financial metrics. The consolidated net profit in...

Tickmill sponsors NOK Triathlon Team

Tickmill continues its mission to assist athletes in reaching their full potential, by sponsoring the dynamic Kyrenia Nautical Club Triathlon Team in Costa...

Top 10 Forex Brokers 2020

200+ Forex Brokers
Top 10 Profitable Forex Advisors
The Most Profitable Forex Advisors 2020

Automated trading systems are an opportunity to create passive earnings in the financial markets for all users. Successful and proven strategies are integrated into the algorithm of advisers, which will make it possible to earn on the pricing of assets without delving into the subtleties of technical analysis. We present the Top 10 Forex Advisors including Equilibrium, Excalibur, Night Owl...

Top 10 Forex Advisors 2020

All Forex Advisors
TOP 10 Best Forex Trading Platforms
Best Forex Platforms 2020

A variety of web terminals and specialized software makes a choice of a trading platform a difficult one for a novice trader. What should be this vital decision based on? To begin with, it is necessary to highlight the main criteria that high-quality software must meet for making money on financial markets...

Top 10 Forex Platforms 2020

All Forex Platforms