This chapter explains the Margin Requirements clients must meet to maintain open positions with Lirunex. It outlines how margin is calculated, how changes may occur, and the automated risk monitoring systems in place to protect both the client and the company from excessive risk exposure.
Chapter F: Margin Requirement
1. Margin Overview
-
Margin is the required cash deposit clients must maintain to open or hold trading positions.
-
The full Initial Margin must be deposited before a contract is opened.
-
Margin requirements vary depending on the instrument and currency pair, and details are available on the trading platform.
2. Margin Adjustments by the Company
-
Lirunex may adjust the required Margin and Stop Out Level at any time.
-
Reasons for adjustment may include:
a. Market volatility or liquidity changes
b. Economic news
c. Changes in the client’s trading behavior
d. Changes in the client’s credit profile
e. High exposure to a specific instrument
3. Margin Change Notifications
-
Any changes to margin requirements will be announced on the trading platform.
-
Increases in margin are due immediately upon notice—no grace period will be given.
4. Temporary Increase in Margin
-
Higher margin may be required during:
a. Friday market closures
b. Other major market closures
c. Major news releases
d. Expected abnormal market conditions or disruptions -
These temporary changes may impact existing orders and positions, and Lirunex is not liable for any resulting losses.
5. Stop Out Policy
-
If the Stop Out Level is reached, Lirunex may (but is not obligated to) close all or part of a client’s open positions.
-
Lirunex will not be liable for any losses related to the closing or non-closing of these positions.
Margin Risk Monitoring
6. Automated Monitoring System
-
The trading platform has an automated risk monitoring system.
-
It includes automated margin call alerts and stop-out triggers.
7. Margin Call Alert
-
If equity falls to 50% of the required margin, a Margin Call alert is issued.
-
Clients are advised to top up their accounts to at least 100% to open new positions.
8. Stop Out Trigger
-
If equity falls below 25% of the required margin, the platform will automatically close positions, starting with the least profitable ones.
-
Hedged positions are also subject to margin and may be closed at this level.
Lirunex uses a dynamic margin system to manage client exposure and market risk. Margin requirements may be adjusted at any time, and automated systems are in place to issue alerts and protect clients from liquidation. Internal teams should be familiar with these mechanisms to assist clients accurately and manage risk effectively.