Forex Margin Requirements

Leverage your margin to your advantage.

CitiFX Pro provides you with the ability to leverage your margin deposit for a greater market effect. Each currency pair has an allocated margin requirement, as shown here.

Any position you take through CitiFX Pro is subject to the following margin requirements:

• The face value of the position multiplied by the margin factor for the specific currency pair, converted to the base currency of your account.
• Customers of CitiFX Pro are responsible for ensuring that their accounts have sufficient available margin to cover the margin requirements of their trades. Your available margin will be reduced if you hold a losing position (whether the loss is realized or not).
• Customer accounts that lack sufficient margin to cover open positions may receive margin calls and risk the automated closure of all open positions if margin requirements are not met by one of the following actions: deposit of additional funds, closure or reduction of open positions.
• If your margin situation is not remedied (either by one of the above actions or by profits - realized or unrealized - generated by open positions), we may close positions on your behalf. Please consider the time required to transfer funds from your bank account to your margin account—in many cases the best course of action may be to reduce your position to ensure that you meet your margin requirements.

Margin used for orders

When you enter an order into the CitiFX Pro system, it will check your margin availability (using the information current at the time of order entry). If the execution of the trade would result in you having insufficient margin to support your positions, the order will be rejected at the point of entry.

When an order level is reached, the CitiFX Pro system automatically checks your margin availability again (using the information current at the time of the order level being reached) to ensure that you have sufficient available margin to execute the trade. If the execution of the trade would result in you having insufficient margin to support your positions, the order will not be filled and will be cancelled in the system.

Please note that closing an existing trade will reduce your margin utilization, thereby increasing your margin availability. Opening a new position will increase your margin utilization, thereby decreasing your margin availability.

Automatic closeouts - important

CitiFX Pro calculates account value (consisting of the cash balance +/- unrealized profits/losses) on a continuous basis. The account value is compared to the margin requirements for all open positions to determine margin adequacy. If at any time the account value does not cover the margin requirements, CitiFX Pro may commence the closing of all open positions. This process provides vital protection to our clients as well as Citi, and is a common practice across providers of margin FX trading.

It is your responsibility to ensure that your account value at all times meets margin requirements. Clients are accountable for any losses associated with liquidated positions due to insufficient margin funds. CitiFX Pro offers various stop orders that can be critical tools to help clients manage their risk. For more information, please visit the platform tools page.