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Interactive Markets Professional Client

Qualify as a Professional Client

The European Securities and Markets Authority (ESMA) have agreed on product intervention measures on the provision of Spread Bet and CFD products to Retail Clients. This will result in minimum starting margin rates ranging between 3.33% and 50% (depending on asset class).

These restrictions won't apply to you if you qualify as a Professional Client. However, you would not be eligible for certain regulatory protections.

 

 

Professional Client Status Details

We are not obliged to offer the following to Professional Clients but have elected to continue doing so:

  • Client money remains segregated from our funds and will be unaffected in the event of insolvency.
  • Best Execution remains unchanged as we own all our clients a duty of best execution.
  • The detail of Trade Confirmations remain unchanged and are sent by the end of the first business day following the execution of the trade, or earlier.
  • Key Information Documents remain available to you.

You will waive some FCA protections:

  • Margin and Leverage Limits remain unchanged despite the changes that ESMA introduce for Retail Clients.
  • Mandatory changes to product features which protect Retail Clients will not be mandatory for you (e.g. negative balance protections and margin close out levels).
  • We will assume you have the relevant knowledge and experience levels to understand the risks in trading leveraged products.
  • We may use more sophisticated language when dealing with you as a Professional Client than we do with our Retail Clients.

Lower Margin Requirements

Markets

Current Min. Retail and Professional

Margin Rates

New Min. Professional

Margin Rates 

New Min. Retail Margin Rates
Major Indices 0.5% 5% 5%
Major FX 0.5% 5% 3.33%
Commodities 1% 5% 10%
Shares 4% 3.3% 20%
Crypto 25% 3.3% 50%

From 1st August 2018 new industry wide regulations will mean significantly increased minimum margin rates for all retail clients.

Professional Clients are exempt from these increases, and will receive margin rates that are lower than current rates across a range of asset classes. We will be updating our margin rates on 29th July 2018.

Professional Clients also:

Remain eligible for the Financial Services Compensation Scheme if you are a natural person.

Retain the rights to complain to the Financial Ombundsman Service when trading in a personal capacity.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% of retail investor accounts lose money when trading CFDs with Interactive Markets (provided by GAIN Capital). You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Spread betting, CFD and Forex Trading are leveraged products and your capital is at risk. They may not be suitable for everyone. Please ensure you fully understand the risks involved by reading our full risk warning.