Product Intervention Measures Sample Clauses
The Product Intervention Measures clause grants regulatory authorities the power to impose restrictions or requirements on certain financial products or services to protect consumers. In practice, this may involve banning the sale of a product, limiting its features, or requiring additional disclosures if the product is deemed to pose significant risks to retail investors. The core function of this clause is to proactively address potential consumer harm by allowing regulators to intervene before widespread issues arise, thereby enhancing market integrity and consumer protection.
Product Intervention Measures. 7.1. The company adapts with product intervention measures (“measures”) on the provision of CFDs to retail investors in order to ensure investor protection. Therefore, the below measures will govern your trading activity with easyMarkets :
a. Negative balance protection and Margin Close-out restrictions;
b. Margin Close-out will be limited to 50% on account basis;
c. New leverage limits on the opening of a position by a retail client from 30:1 to 2:1, which vary according to the volatility of the underlying, as follows:
30:1 for major currency pairs;
20:1 for non-major currency pairs, gold and major indices;
• 10:1 for commodities other than gold and non-major equity indices;
• 5:1 for individual equities and other reference values;
• 2:1 for cryptocurrencies; For further information, in regard to the product intervention measures please read our Order Execution Policy on our Legal Page.
Product Intervention Measures. As a Retail Client you enjoy the greatest protection with rules and regulations imposed by ▇▇▇▇▇ and the ESMA. Such rules have been designed to ensure you are given every opportunity and assistance when trading in financial markets. The product intervention measures set by SQCM which relate to the execution of transactions relate to the following: Swissquote provides its Retail clients with Negative Balance Protection. In particular, the Client’s losses will never exceed the Equity per Trading Account. The negative balance protection limits the maximum losses that a Retail Client could have. In this respect, You can never lose more than the total sum invested for trading in CFDs. The main feature of CFDs trading is their ability to operate on leverage. In general, whilst leverage can increase the possible profit for clients, it can also increase the possible losses. The Cyprus Product Intervention Measures applicable to Retail Clients, introduced leverage limits on the opening of a position from 30:1 to 2:1, which vary according to the volatility of the Underlying Asset, and particularly:
30:1 for major currency pairs;
20:1 for non-major currency pairs, gold and major indices;
• 10:1 for commodities other than gold and non-major equity indices;
• 5:1 for individual equities and other reference values; and
• 2:1 for cryptocurrencies. The above measures will apply in the case where the Client is a resident of Cyprus or a Member State where the National Competent Authority of that Member State has not introduced National Product Intervention Measures. Swissquote will ensure that product intervention measures in relation to the leverage limits determined by Member States which introduced different national measures, are implemented. The leverage limits applicable to Retail Clients are available onto Website. It is noted that by default Professional Clients or Elective Professional Clients are able to trade with higher leverage since Swissquote allows for the possibility to select a higher level of leverage depending on the Underlying Asset. More details on the specific leverage limits set by Swissquote in respect to Professional Clients are available onto the Website. The Client shall provide and maintain margin in accordance with the terms of the Agreement to secure their obligations to SQCM and satisfy the provisions of the Applicable Laws and Regulations. The margin shall be paid in a currency acceptable by SQCM and such margin deposits will be treated as C...