FBS: FX leverage rules and maximum leverage Zero cut and loss cut restrictions and regulations Explanation of how to change

FBS

With FBS, the maximum leverage is 3000x, making it possible to perform high leverage trades among the world’s FX brokers. However, there are certain rules and restrictions regarding this leverage, so if you are not careful, you will not be able to trade at 3000x, so be careful.

Maximum leverage by account type

Please note that FBS has a fixed maximum leverage for each account type. Please note that only the standard account can use leverage of 3000x. Be careful as the risk increases as you increase the currency trading volume and lot to a high level.

Standard3000
Cent1000
Pro2000

leverage limit

With FBS, you need to be careful as there will generally be some leverage restrictions in the following cases. This is also stated on the official website, so please check the impact before using the service. Leverage limits are also used by other companies such as xmtrading, exness, fxgt, axiory, titanfx, and iforex.

When using deposit bonus

FBS limits leverage to a maximum of 500x when using a deposit bonus. Maximum leverage of 3000x and deposit bonus cannot be used together.

political economy events

The market fluctuates greatly when there are important economic indicators, such as policy interest rates or the unemployment rate. At this time, leverage will be temporarily limited. Leverage is similarly severely limited when political events occur.

account balance

With FBS, leverage is limited by the amount of account balance. If your account balance exceeds $200, you cannot maintain the maximum leverage of 3000x. This high leverage only works in situations where small amounts are traded.

BalanceMax Leverage
0 – 200$3000
200 – 2000$2000
2000 – 5000$1000
5000 – 30000$500
30000$ – 200

trading products

In FBS, the maximum leverage is limited depending on the trading product due to management. Currency pairs can actually take advantage of the maximum leverage of 3000x. Please note that other investment products have overwhelmingly reduced leverage. When looking at the calculations by stock, virtual currencies have the largest restrictions. Energy is 200x higher and stocks are 100x higher. Precious metals are 333x and stock indexes are 100x. Currently, the currency pair is the largest and attractive at 3000x. Generally, if you have a large loss on an order, you will receive a loss cut.

Forex3000
Metal333
Energy200
Indice100
Stocks100
Crypto5

How to check leverage

You can check this by logging into My Page and selecting “Account Settings” for the account you wish to check. Please note that this cannot be confirmed with trading tools. You can personally check the latest leverage and trade size.

How to change leverage

You can change the leverage by logging into My Page and changing the “leverage” of the account you want to change. However, there are upper limits for each account type and content (stock), so please be careful how you use them.

Number of positions held

There is no leverage limit depending on the number of positions held. Also, since it is not affected by the size of the margin, there are no leverage restrictions even if you have unrealized losses. FBS allows you to hold up to 200 positions.

Loss cut criteria

Below are the application levels of margin call level and stop-loss cut for each FBS account type. A stop-loss cut is a forced settlement mechanism. The margin will be compulsorily settled when the following percentage is reached. A margin call is a warning; it poses no risk, but it signals that a stop-out is near.

Loss CutMargin Call
Standard40%20%
Cent40%20%
Pro40%20%

What is margin call?

A margin call is a warning that occurs when unrealized losses increase significantly. Traders are not subject to any restrictions when this warning occurs. However, it means that the loss cut is approaching, so it is time to decide whether to cut the loss or add funds.

What is loss cut?

Stopout means forced liquidation. This is a measure to prevent a total loss by performing forced settlement when a certain percentage of the margin is reached. Traders cannot prevent this, they have no choice but to accept it. Therefore, traders must cut their losses or add funds before this happens.

What is the zero cut system?

Zero cut is an emergency measure in which FBS will compensate for the excess amount in the event of a negative amount exceeding the deposit amount. What this means is that there is no possibility of the trader incurring any debt. In order for the zero cut to be activated, the margin must be negative.

Zero cut activation order

The order of activation of zero cut is margin call ⇒ loss cut ⇒ zero cut. The most important thing for traders is to take measures to prevent loss cuts. Whether to cut your losses or invest money will be a matter of consultation with the market. If the trend continues to be too severe, it is safe to cut your losses, and if it looks like there will be a reversal, it is safe to add funds.

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