Are you looking for a broker with high leverage trading accounts? Online brokers come with lots of different benefits and perks. Let’s get to business — no…a different kind of business. Today I want to introduce you to online brokers that specialize in high leverage trading accounts. High leverage allows you to trade with a lot more money so you can make even more money on your investments. Most of this article is going to focus on what brokers I recommend and why, but there’s some background information I’ll have to cover first.
Online trading is one of the most lucrative methods of making money these days. As brokers around the world are trying to get more clients, all of them are offering some kind of bonus, incentives, or other goodies to their potential clients. Certain brokers are known for high leverage trading accounts, which will prove to be helpful in a volatile market. Let’s examine some of them.
There is a long list of online brokers offering leverage, but in this article, we will present the 20 best online brokers with high leverage trading accounts.
What is Leverage Trading?
Leverage trading allows traders to trade huge amounts of money without having to actually have them in the account. This means that if you have $1,000 in your account, you can control $100,000 when using 100:1 leverage. It is important to note that even though you are controlling a big amount of money, your margin requirement is still only $1,000.
Leverage is a technique used by investors to multiply the potential returns from a trade. In the stock market, leverage is achieved using borrowed money to increase the size of a trade and therefore the potential returns from that trade. Leverage can also be used to increase the potential losses on a trade.
This means that you can use your initial capital as a deposit for a loan from your broker. For example, if you want to buy $10,000 worth of Apple stocks, but you only have $2,000 in your account, you can open a position with 100:1 leverage and buy it all with the $2,000 that you have deposited. However, the downside is that if the price moves against you by 50%, then your account will be liquidated and closed automatically. This is because half of the total value of your position will go towards paying off the margin loan that your broker gave to you.
Benefits of High Leverage Account
A high leverage trading account allows you to gain more exposure to the market with a smaller deposit. This means that you can hold a larger position in the market without needing to put up the full value of the trade upfront. For example, if you were trading with a 100:1 leverage ratio, you would only need $100 in your trading account to buy or sell $10,000 worth of currency. While this can be useful for traders who wish to increase their potential returns, it does have some drawbacks which we will explore in this article.
What Is The Difference Between Margin And Leverage?
Leverage and margin are often used interchangeably, but they actually mean different things. A margin is the actual amount of money required to hold open a leveraged position, while leverage is an expression of how much bigger your position size is than your margin (usually expressed as a ratio).
Top 20 brokers with high leverage Accounts
The most important and influential independent traders’ community, Traders Union, prepared a list of the best high leverage brokers in 2022. You can have honest reviews at Traders Union websites. Also, check the top 100 regulated brokers list from Traders Union.
The ranking is based on the results of the annual voting. The broker companies were divided into two categories: with a leverage of up to 1:100, and with a leverage of more than 1:100. Within each category, the TOP-20 is compiled according to the number of votes received. In total, more than 5,000 traders from all over the world took part in the vote.
Top 20 Brokers With High Leverage
- XM Group
- IC Markets
- Admiral Markets UK
- Interactive Brokers
It is important to note that high leverage trading accounts are not suitable for everyone. If you are a beginner trader, you may want to trade with low leverage or start with a demo account first before going live with real money. Trading with high leverage can be risky because your profits or losses are high.