It is one of the financial derivatives.
It is a financial derivative with a certain proportion of its capital in all kinds of trading objects, in the direction of fluctuations, to expand hundreds of times or even hundreds of times of value-added transactions, also known as leverage.
Foreign exchange margin has the characteristics of futures, also known as currency futures.
Futures contracts based on foreign exchange instruments are the first varieties of financial futures.
Mainly for hedging, that is, exchange rate risk.
Take the margin way to trade, can make full use of the leverage principle to achieve a small broad.
Foreign EXCHANGE MARGIN IS TRADED, POINT TO SIGN A CONTRACT WITH APPOINT INVESTMENT BANK NAMELY, OPEN TRUST INVESTMENT ACCOUNT, DEPOSIT A FOREIGN EXCHANGE MARGIN AS GUARANTEE, SET CREDIT OPERATION LIMIT BY INVESTMENT BANK.
Investors CAN freely trade spot foreign exchange of the same value within the quota, and the profits or losses caused by the operation will be automatically deposited or deducted from the above investment account.
