With leveraged products, you only need to deposit a small portion of the trade's value to create a position. Margin trading increases your gains, but it also increases your losses, since they are based on the whole value of the position, meaning you could lose more than the capital you invested.If you trade CFDs, you must pay the spread, which is the difference between the buy and sell price. In a buy trade, you enter at the given buy price and exit at the quoted sale price. As one of the leading providers of CFDs, we realize that the narrower the spread, the less price movement in your favor is required to generate a profit or loss. Due to this, our spreads are always competitive, allowing you to maximize your potential return.

The main difference between margin and leverage is that margin is a capital requirement, while leverage is a trading ratio. When a trader opens a leveraged position, the broker may require a certain amount of money to be held as collateral. This amount is called margin. Leverage indicates how much larger the trader's market position can be compared with the funds used as margin. For example, with 50:1 leverage, a trader might control a $50,000 position with $1,000 of margin, depending on the broker's rules. Margin is therefore the money committed to support the position, whereas leverage determines the level of exposure available to the trader. Using leverage can allow traders to participate in larger positions without depositing the entire position value. However, it does not reduce the actual market risk of the larger position. Both gains and losses are calculated based on the full position size. Traders should understand their broker's margin requirements and manage exposure carefully.