What is considered over-leveraging on a funded account?

1 min. readlast update: 05.30.2024

Over-leveraging refers to excessive leverage that brings the account's Margin Level to 150% or lower. This can significantly increase the risk of large losses, especially during high-impact news events.

This typically involves taking on a trade (or multiple positions at the same time) on a single Symbol or Instrument that is too large, surpassing the leverage limits set by CTI, causing an account to reach a Margin Call.

Such practices can lead to rapid account depletion, and are generally not allowed to maintain responsible risk management.

For more information on what leverage is, please click here.

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