A risk manages deposit money of FX by a margin call and a loss cut

A risk manages deposit money of FX by a margin call and a loss cut

Because FX is not a capital guarantee type, there is always risks to appropriate a loss in. Because the possibility that the country of the object currency is destroyed is limitlessly near to beginning, at first it is not possible the thing that I look like wastepaper overnight, but it is necessary to manage "a loss cut" and two risks of "the margin call" in FX which I am based on leverage, and perform buying and selling.

It is from margin Kohl first. That you demand the contribution of the additional guaranty money when loss of money more than the half of the guaranty money occurred is a system to settle an account at that point. I will think about time having dealings in 20 times that is leverage of 2,000,000 yen in deposit money of 100,000 yen for an example. Because latent loss becomes 50,000 yen when the dollar that I purchased for 1 dollar =105 yen (1,050,000 yen in total) fell to 100 yen (1,000,000 yen in total), it is the half of the deposit money.

In this case, I decrease the ratio of the latent loss to 25% when I demand I let the FX company sells the dollar holding it and settles an account, and profit and loss settle or that I contribute deposit money more and say in the above-mentioned example by adding 100,000 yen. This is called a margin call. A beginner of FX is to watch out in what margin Kohl will suffer from so as to raise the ratio of the leverage only by just only speculation having changed.

The second is "a loss cut". This is "loss cut" of a place saying in Japanese. If it says in the example of the loss cut, it is different by a business company of FX, but it is to settle an account at for the part of a currency holding or all when deposit money becomes 20-30%.

There is the side resembling closely with a margin call, but the point where I am made to force the settlement on in the case of the loss cut one-sidedly is the most big difference whereas I can remove deposit money by the margin call by doing increase. When a loss occurred even if I make the margin call a loss cut, it is the thing which seems to be safety measures to control the loss with an amount of money in the deposit money.

As for the loss to really bear, what I control within the minimum of the deposit money is possible even if a beginner of FX started a loss in FX which started for few funds very much.

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