Margin requirement and the minimum amount to open a position on MT5

2 min. readlast update: 07.25.2024

DESCRIPTION: below you can find a step-by-step guidance to calculate your margin required to open and sustain an open position when trading in MT5 for a specific symbols/assets 

POSSIBLE REASON: The minimum amount of margin you will need to open/sustain a position on MT5 is different for each asset. 

RESOLUTION STEPS:

  1. You may use the formula: Margin = (volume × contract size × asset price) ÷ leverage to manually calculate it from your end
  2. Volume would be the lot size that you've set for you to open the new position in MT5
  3. The asset price would be the current price of the assets in MT5 as it keeps changing as we speak
  4. For the leverage, please refer to this Trading Specification table from the Deriv website here showing the "Max effective leverage" column for any particular assets you would like to trade
  5. Please note that these are approximate values only and will differ depending on the leverage that is set for your account and the asset you want to trade.
  6. EXTRA INFORMATION: If you are trading the USD/CHF forex pair, the margin requirement will be calculated in Swiss Franc currency (CHF) which is the quote currency. On the other hand, if you are trading Volatility Index 75, then the margin requirement will be calculated in USD currency, which is the denomination of the underlying asset – Volatility Index 75.

For further check refer to https://community.deriv.com/t/margin-requirement-in-mt5/30458

 

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