Knock-out FX pairs

[1kp1]

Hi,

I have 33 currency pairs that i like to trade. Since the knock-outs came about it has enabled me to trade like i use to before the ESMA rules came about with regards to leverage. Currently though you only have 14 different currency pairs available to knock-outs. Can i ask when you are rolling this out to the other pairings?

Many thanks

[Caseynotes]

Hi @1kp1, you might have missed that recently IG has increased the KO knockout level to bring it into line with the esma margin requirements so that now if you are not sat at the screen to manually close you could be closed out at the full margin rate. See page 4 of the thread linked in bottom pic.

 

 

[1kp1]

Hi,

Really appreciate your response. With regards to margin i thought with knockouts the margin is equal to your maximum risk?, so if for example I was trading at £1 per point and the knockout was 100 points away i would only need £100 of margin to place the trade, whereas if i placed it by usual means my margin would be nearer £450.

Is that right or have i got this completely wrong?

 

[Caseynotes]

Hi @1kp1, correct but see the shot I posted further down in the thread when the new ko price was on live but the old price was still on demo, same size, same time. On a £1/point bet the max risk was raised from £135 to £625.

 

[1kp1]

Really quite annoyed at this that there has not been any kind of announcement. I certainly haven't received any email. Ive spent last few weeks mastering them in demo to now be told ive completely wasted my time. With that amount of leverage there is no point whatsoever in using a knockout over a standard FX trade.

Do IG have something in the pipeline that will help people out around the higher leverage costs? 

[Caseynotes]

So yes, it was esma who changed their mind. Earlier the had excluded from the ban on binary options some longer term set ups such as the KOs but have now reversed that. See 4th para down >  

https://www.financemagnates.com/binary-options/regulation/esma-extends-restrictions-for-binary-options/

 

[JamesIG]

Hi @1kp1 - I'm sorry that you felt ill informed about the change to minimums on our latest product type. We did email all clients who had placed a deal via this particular method to update them, and those who had open positions. We didn't want to 'spam' those who hadn't traded via this method so we did need to make a cut off at some point. I'll feed this experience back to our communications team. 

When it comes to new product types we are continuing to review all possible options going forwards and shall continue to be market leaders in our wider offering. When we have a more concrete roll out plan for any potential future developments Community members will be some of the first to know. 

[1kp1]

Cheers for that, i guess you guys can only do so much when your hands are tied

[PandaFace]

Sounds promising though! Not a ‘we have nothig’ but more a ‘wait ya’ll a few more weeks/ months’... 

thats what I got from it