Margin Call Policy
Last updated: 27 February 2026
1. Background
EQUIDITY LTD recognises that CFDs and derivatives are complex and risky products. The Company has established this Margin Call Policy to detail its margin practices, account monitoring, and client rights exercises.
2. Margin Requirement
The Company offers margin trading on CFDs and economically equivalent products. Key points include:
- “Margin” or “Initial Margin” refers to funds available in a trading account for opening and maintaining positions.
- Margin requirements vary by security and may change if risk increases.
- The Company may impose stricter requirements on clients deemed risky based on available information.
3. Margin Placements
The Company places client margins with liquidity providers to enable position opening. Clients must maintain sufficient funds throughout open positions and understand that losses can exceed deposited amounts.
4. Monitoring Client Accounts
It is the Client's responsibility to ensure that margin utilisation in the trading account(s) is adequate. When equity reaches or falls below 100% of used margin, the Company may liquidate positions.
5. Notifying Clients
The Company attempts to notify clients via email about margin calls. However, it is each client's obligation to monitor their trading account/s and at all times ensure they have sufficient margin.
6. Company Rights Regarding Client Accounts
The Company retains the right to close positions automatically during margin calls. Key provisions:
- No client will be exempted from manual and/or automatic close out (liquidation orders).
- Negative account balances may incur interest charges.
- The Company may transfer funds between a client's multiple accounts.
7. Slippage
Stop orders guarantee execution but not specific prices. Slippage occurs during high volatility or limited liquidity periods.
8. Gapping
Clients acknowledge risks of market gapping, where automatic liquidation may occur at significantly different price levels than margin breach points.
9. Amendments to Policy
This policy undergoes annual review and revision to reflect regulatory changes and business practice updates. For further assistance, contact us at support@eqprime.com.