Alpari Leverage

Leverage is an essential trading tool for profitable traders, and without it, Forex trading would be inefficient and near-impossible. So, how competitive is Alpari leverage?

I have analyzed the Alpari leverage conditions to help you make the best choice for your portfolio and trading requirements. Learn why I rank Alpari among the best brokers. Learn how Alpari leverage works, why it is necessary to enable Forex trading and understand the pros and cons of the Alpari leverage conditions. I would also like to stress the importance of risk management and lot size management in leveraged trading, which determines risk, not the leverage ratio.

Regulation and CFD Leverage Limits at Alpari

The Alpari account types area of the website lists the maximum Alpari leverage, which applies to major Forex pairs. Other assets have lower maximum leverage. Traders can evaluate the maximum Alpari leverage per asset under contract specifications in the MT4/MT5 trading platforms.

Here are the regulation and leverage limits at Alpari:

1. Regulator: MISA (Mwali International Services Authority)

• Compensation Scheme: No
• Maximum Forex Leverage: 1:3000

2. Regulator: FSC (Financial Services Commission, Mauritius)

• Compensation Scheme: No
• Maximum Forex Leverage: 1:500

All retail traders receive the following:

• Segregated client deposits from corporate funds
• Negative balance protection
• An automated margin call at an 80% margin level
• Forced liquidation at 50% margin level

Alpari Leverage by Asset Type

My Alpari review found that the broker ranks among the most competitive brokers for leveraged traders, especially Forex, cryptocurrency, gold, and index CFDs.

The trading platform lists maximum leverage under contract specifications, and traders can use the Alpari demo account to explore leverage maximums for various assets.

Please note:

• An Alpari Islamic account is available
• Alpari has competitive swap rates for leveraged overnight positions, including positive ones
• Alpari has a Dynamic Margin Requirement (DMR), and changes leverage conditions based on underlying market dynamics
• Alpari DMR applies to affected assets for ten minutes before, and two minutes after, some significant economic news releases
• Alpari DMR also applies 60 minutes ahead of market closures for weekends and public holidays
• The maximum Alpari leverage during DMR decreases from 1:3000 to 1:200
• Margin requirements change before DMR changes trigger, which increases the margin requirements until the DMR normalizes

How Leverage Works in CFD Trading

Alpari leverage decreases the margin requirement to open and hold positions, granting traders a capital injection. For example, 1:3000 leverage, the maximum for Forex traders, means that for each $1, traders can control a $3,000 position.

Therefore, traders can achieve greater diversification with smaller portfolios or increase their earnings potential by borrowing capital from Alpari. Another way to view it is that a trader can purchase more with the same capital or the same amount with a smaller portfolio.

Please note that leverage also magnifies downside moves and requires traders to adjust their risk management accordingly. Alpari charges swap rates on leveraged overnight positions, increasing final Alpari fees per trade.

Here is an example of taking a 1.0 lot EUR/USD position without Alpari leverage:

• The EUR/USD trades at 1.1350
• Without Alpari leverage, a trader must pay $113,500 to open the position

Here is an example of taking a 1.0 lot EUR/USD position with Alpari leverage:

• The EUR/USD trades at 1.1350
• With Alpari leverage, a trader must pay $37.83 to open the position

How Do You Change Leverage at Alpari?

Traders cannot change the Alpari leverage, which depends on the account type, asset, and DMR conditions Alpari applies.

Here is what traders must know about Alpari leverage:

• The commission-free Standard account has a maximum Alpari leverage of 1:1000
• The commission-free ECN account has a maximum Alpari leverage of 1:3000
• The commission-based ECN Pro account has a maximum Alpari leverage of 1:3000

Please note:

• Please note the increase in margin requirement when DMR conditions change and ensure you have sufficient capital

Can You Set Leverage Manually at Alpari?

Alpari does not allow traders to set their leverage manually. The maximum Alpari leverage depends on the account type, asset, and DMR condition.

Alpari Leverage – Pros and Cons

Traders should consider the pros and cons of Alpari leverage, as these will impact margin requirements and influence the Alpari withdrawal process.

The pros of Alpari leverage include the following:

• Negative balance protection
• Competitive maximum leverage conditions
• DMR conditions that react to underlying market conditions and decrease maximum leverage to assist with risk management
• Automatic stop-out levels at 80% margin level
• Forced liquidation at 50% margin level
• Low swap rates on leveraged overnight positions

The cons of Alpari leverage include the following:

• None

Bottom Line

I rank Alpari among the best brokers for leveraged Forex, cryptocurrency, gold, and index portfolios due to ultra-competitive leverage of up to 1:3000 and DMR conditions that assist with risk and volatility management. Negative balance protection ensures traders cannot lose more than their deposit.

FAQs

How do I change leverage at Alpari?

Traders cannot change the Alpari leverage, which depends on the account type, assets, and DMR conditions.

What is the maximum lot size at Alpari?

The maximum lot size per order at Alpari is 1,000 lots.

What is the leverage of Alpari?

The maximum Alpari leverage is 1:3000 for Forex and gold traders, 1:500 for non-gold commodities, 1:1000 for crypto and index traders, and 1:10 for equity traders.

By DailyForex.com Team

The DFX Team at DailyForex is a group of veteran financial analysts, traders, and brokerage industry experts dedicated to producing in-depth broker reviews and cutting-edge market insights, plus analysis of market trends. Holding over 16 years of experience in global financial markets, and 4 B.A. level academic qualifications in relevant degrees, we conduct thorough, unbiased evaluations of brokers to enable traders make informed decisions, using the most advanced methodology in the industry. Also, the DFX team is involved in generating technical analysis, signals, and trading strategies, with a consistent commitment to accuracy and transparency. Whether you’re a beginner or a professional trader, the DFX Team works to ensure you have the tools and insights you need to succeed as a trader in the retail CFD industry.