Here, I divide the instructions according to the type of direct cross or benchmark currency:
1. Direct transactions with non-US dollar as the benchmark currency:
Since the margin is calculated, it is necessary to know the leverage ratio of each account. Let me give you an example here. If the leverage is 1: 100, and the current price of the euro against the US dollar is 1.2500, then investors will trade a standard hand of the euro/US dollar (EUR/USD) (100K).
First of all, trading EURUSD, the benchmark currency is the euro, investors buy a standard hand EURUSD, which is equivalent to buying 65,438+000 K euros, and the actual funds needed by customers are 65,438+000,000 euros, so according to the current exchange rate, it is 65,438+025,000 dollars, and we know that in Then the leverage here is 1: 100, that is, customers only need to use 1 *125000/100, that is,1250.
Here, we can easily calculate the standard hand EUR/USD of customer transactions. The current exchange rate is EUR/USD = 1.2500, the leverage is 1: 100, and the deposit required by customers is 1.250 USD.
2. Cross transactions with non-US dollar as the benchmark currency:
Here we will encounter another problem, that is, the calculation of margin when customers cross transactions. If the customer buys a standard lot of GBPJPY, such as GBPUSD= 1.5500 now, which is equivalent to the customer buying 65438+ million units of GBP, that is, 100000 GBP, the actual capital needed by the customer is 100000 GBP.
3. Transactions in dollar-based currencies:
This is very simple, such as USDJPY, so we can see at a glance that the USDJPY of a standard hand bought by a first-hand customer is equivalent to 100000 dollars bought by the customer, or calculated according to the leverage of 1: 100, that is, the deposit actually used by the customer is 1000 dollars.
That is, if the base currency is USD and the leverage is 1: 100, then the margin needs to be fixed at 1 000 USD.
If anyone has a headache after reading the above calculation, I'll simplify it here:
The actual use of the deposit is indicated by m,
The leverage multiple is denoted by l,
The transaction volume is represented by n,
A currency is represented by XXX, and the deposit is calculated as: m = (n * XXX/USD *100000)/L.
Margin calculation of hedging transactions
Many people like hedging. Here we don't evaluate the advantages and disadvantages of hedging, but simply talk about how to collect the margin for hedging transactions.
At present, many brokers (except American brokers) provide hedging trading function, so the deposit collection of customers in hedging trading needs to be determined according to their respective brokers. According to the brokers I have contacted, I have encountered three situations about how to collect the margin for hedging orders:
1. Unilateral charge
That is, the customer buys a standard dollar yen and sells a standard dollar yen at the same time, then the brokerage firm only charges the customer a deposit once, that is to say, these two orders need to use a deposit of $65,438 +0,000 (the leverage is 65,438+0: 65,438+000).
2. Bilateral collection
According to the two lists mentioned above, the broker will collect the customer's deposit twice, that is, 2000 dollars (the leverage is 1: 100).
No charge
When clients hedge their trades, some brokers don't charge margin. The principle is very simple, that is, the customer has locked in the profit or loss when hedging the transaction, so it is still the two lists mentioned above, and the margin that the customer needs to use is 0.