Given the escalated situation associated with Turkey, the recent moves in the TRY/USD exchange rates, the increases in the volatility of TRY spot, and the reduced liquidity in TRY, Global Trading has decided to revise the margin rates for TRY to mitigate increased risk stemming for these factors. As a first stop-gap we will be revising the margin rates for TRY margins to the below.
Margin Rate
New Margin Rate
7%
11%
The above changes to the margin requirement will be implemented on your account on Wednesday, August 15th 2018 at 13:00GMT.
The risk of sovereign default has increased dramatically over the last few days and the contagion effect of such an event has the potential to be widespread, especially to the EU area financial complex that has significant loan exposure to Turkey. In addition, the spat between the USA and Turkey that is translating in additional tariffs and sanctions is making the whole situation more complex and less predictable. We will intervene with additional measures, not only on TRY but on also other instruments, should the situation deteriorate further and adversely impact risk.
Please do not hesitate to contact your Account Manager should you have any questions.
