The primary purpose of using overseas Forex account and it’s attraction is high leverage. It is not an exaggeration to say that the biggest feature of Forex is leverage. In particular, you may not be able to successfully and efficiently proceed with trading at overseas Forex companies if you do not understand well enough and deal with the high leverage of overseas Forex.
However, those who have traded only domestic Forex dealers with maximum leverage of 25 times or those Forex beginners, when they hear about 1,000 times maximum leverage, may feel that they are not that kind of person to take a second step to that high leverage or that they will not succeed with a trade that big. But the fact is trading in high leverage has many advantages. First, the efficiency of funds is very good. You can trade with a small investment, and you can expect firm profit. Even when trading with multiple currency pairs is also effective, risk hedging is also easy and active trading are also possible!
Also, in overseas Forex, losses of more than the investment amount no longer occur in the zero cut system, so even with a high leveraged trade, it is possible to trade with less risk of loss. There are still more other benefits. Of course, if there are merits there are caveats as well. We believe that knowing about the leverage, especially the high leverage itself of overseas Forex companies is a shortcut for successful trading using leverage, which is the biggest attraction of overseas Forex.
Also, in September 2017, it is reported in the Nihon Keizai Shinbun that the Financial Services Agency has reviewed the lowering of the leverage limit of Forex. Although it is still considered the examination stage, I think the probability that it will be cut down to about 10 times is likely, so I think that there are many people will even more consider overseas Forex companies in the future.
We tried comparing overseas Forex companies’ high leverage by company. We also have comments on various aspects from a leverage perspective which is also the biggest merit in Forex Trading.
Moreover, we are making comparative verification from various viewpoints concerning leverage which is also the biggest merit in FX trading.
We think the primary purpose in the use of overseas FX accounts is high leverage. We will maintain the industry’s top high leverage. Check out the leverage comparison table of overseas FX companies for traders using overseas FX with high leverage. We hope you use them as materials for consideration. For traders using overseas FX for high leverage, please confirm the leverage comparison table of overseas FX companies and make it your comparative consideration material.
The leverage in Japan has a determined leverage regulation "control the leverage up to 25 times to avoid speculative transactions". The first stage is up to 50 times from August 2010, and in August the following year, it was suppressed to 25 times. As a result, many FX traders turn to overseas FX. It’s but natural since the biggest advantage of FX - leverage was regulated.
So, how high is the leverage of popular overseas FX companies? There’s no need to introduce them on this site, because we tried comparing high leverages. Refer to the leverage comparison table below
|Overseas FX Leverage by Comparison Company||Maximum leverage|
In this way, overseas FX companies are very attractively high leveraged. And the other two companies, similar to us with 1,000 times available leverage.
First, before comparing leverage of overseas Forex companies, overseas Forex beginners who are considering overseas Forex for the first time should first understand what leverage is. The greatest attraction of Forex is still in leverage anyway. Understand this leverage and get maximum profit by using it wisely.
Leverage means "lever". Lever can lift large objects with small force. Leverage, which is the biggest feature of Forex, can be put on collateral funds (trade guarantee money), you can trade many times as much as you can and expect big returns! For example, if 10 times trading is possible with a margin of 1 million yen, the possible trading amount is 10 million yen, and making such a trade is said to make "leverage" effective. But first of all, it is important to know what leverage is.
For example, in the leverage 200 times, the actual fund to be deposited is 10,000 yen where you can trade 2 million yen. With just a margin of 10,000 yen, you can apply 200 times leverage. But the delicate part is you somewhat understand a portion but don’t understood some. What is the mechanism of leverage? What are the disadvantages? Is high leverage attractive? What will happen to losses when high leverage is applied? These are the things that you must know before comparing leverage.
In understanding leverage, we tend to think it is risky if the leverage is high, but that’s not necessarily true. By understanding high leverage, you can do a very advantageous trade by making high leverage your ally. For example, if leverage is 10 times with margin of 100,000 yen, you can trade for 1 million yen. You can trade for 10 million yen at 100 times leverage. Let’s say you lose all 10 times, it will be 900,000 yen. In case of 100 times, will a margin call of 9.9 million yen occur ...? Actually, many people seem to have this kind of misunderstanding. This is a big misconception about leverage. If you make such a big mistake, you cannot accurately compare leverage.
Speculative transactions are transactions aimed at earning profits by reselling. In terms of FX, sales transactions to gain the difference arising from market fluctuations. Consider it as a regulation to trade with high leverage and prevent it from becoming a money game.
If this is the reason why leverage is regulated, I think Japan's leverage regulation is incorrect. If that is the case, even stocks and futures investments should be prohibited for short-term transactions such as day trading in order to prevent speculation, and they have to keep it in a certain period of time. I got sidetracked over there, but leverage is an excellent advantage you get in FX trade.
By all means, compare each company’s leverages and consider GEMFOREX.
In Japan, it has been decided that even Forex corporate accounts will be subject to leverage regulation in the future. The magnification has not been officially announced, but it seems to be about 100 times in view of correspondence of each trader. Overseas Forex which attracts both individual and corporate with the size of leverage will get more attention in the future. Let's compare the leverage of overseas Forex corporate accounts by ranking format.