Important Update from XM
Over the past few days, there has been a significant increase in volatility in the OIL Market. Moreover, we saw futures prices on WTI OIL for the month of May trading at a historically unprecedented negative price.
We would like to inform you that in order to protect our clients and our Company from the anticipated market turbulence during this time period, XM will implement the following temporary measures:
From 17:00 server time (GMT 3) on Friday 24/04/2020, the minimum margin required for all positions (for opening new positions and for maintaining existing positions) will be temporarily increased as follows:
In the event that the price of any energy instrument (OIL, OILMn, BRENT, GSOIL and NGAS) reaches 0, the company will close all open positions at the last available market price. This is a necessary measure as trading platforms do not support negative prices on financial instruments.
Considering the above and in order to protect our Clients and the Company, XM may have to take additional measures including setting any of the aforementioned instruments to close only mode or disabling trading. When taking such actions, the Company endeavors to inform the clients ahead of time, however under abnormal market conditions the Company may have to implement these actions at short or without notice.
Trading restrictions will be waived as soon as the market conditions return to normal.
Clients who intend to keep open positions during this period of high volatility should ensure that their trading accounts are sufficiently funded in order to avoid any disturbances from possible margin calls and/or stop-outs in their trading activity.
Note: In order to see the correct margin requirements, please ensure you have the latest version of the XM MT4/MT5 Client Terminal.