On 23 March 2018, the European Securities and Markets Authority (ESMA) has agreed to prohibit binary options and restrict CFDs to protect retail investors in the European Union (EU). The agreed measures on CFDs include: Leverage limits on the opening of a position by a retail client from 30:1 to 2:1, which vary according to the volatility of the underlying: 30:1 for major currency pairs; 20:1 for non-major currency pairs, gold and major indices; 10:1 for commodities other than gold and non-major equity indices; 5:1 for individual equities and other reference values and 2:1 for cryptocurrencies; Brokers will also need to provide a margin close out rule on a per account basis. This will standardise the percentage of margin (at 50% of minimum required margin) at which providers are required to close out one or more retail client’s open CFDs; And also negative balance protection on a per account basis.
Customers with a professional account are not conditioned by the above mentioned restrictions.
ActivTrades opened recently a new entity in Nassau, ActivTrades Corp. This strategic move enables ActivTrades to better serve its international client base and business partners, especially in South America and Asia.
Clients registered with ActivTrades Corp will have the ability to trade with greater flexibility and utilise extensive trading conditions.
The new entity is fully regulated by the Securities Commission of the Bahamas and provides clients with the high level of protection synonymous with ActivTrades. All clients’ funds are held in segregated bank accounts and clients benefit from negative balance protection, meaning that their accounts never fall below zero. ActivTrades is also offering a $1 million funds’ insurance policy, underwritten by participating syndicates at Lloyd’s of London.
Activtrades Bahamas clients will keep the high leverage and margin conditions without having to open a Professional account.
Have a look to ActivTrades Bahamas and decide for yourself.