
Smaller trade sizes pose several challenges to foreign exchange firms. There are two primary issues that have prevented firms from offering smaller trade sizes: high labor costs and risk management. To offer smaller trade sizes, most firms would have to hire more dealers, which would make the cost exorbitant. The FXDD Mini account features automatic execution for most accounts. All trades are executed without human intervention (just like a demo account). This keeps labor costs low. The second issue is risk management. The smaller size trades offered on the FXDD Mini account are difficult to offset in the broader market. FXDD has developed a proprietary risk protocol for the FXDD Mini, which involves aggregating volume into sizes that can be offset in the broader market. (Top)

The FXDD Mini account is designed to introduce traders to the excitement of trading currencies online and for those with limited investment capital. With a Mini account, you trade using the same platform as our regular traders. With as little as $300, a trader can open a FXDD Mini account and begin trading foreign exchange with FXDD. On the Mini trading platform all trades are executed in standard sizes of 10,000 base currency per one lot, 1/10th the size of a regular account. The smaller trade sizes enable traders to take smaller size risks. The FXDD Mini account also serves to introduce clients to trading with FXDD. (Top)

If the equity balance in your account falls below the margin requirement, a margin call will be generated. In the event that an account exceeds its maximum allowable leverage, ALL open positions will be liquidated immediately, regardless of the size or the nature of positions held within the account. For example, a FXDD Mini account with 8 lots in open positions would need to have $400 in account equity. If the account equity falls below $400 due to trading losses, the entire 8 lots would be liquidated at market price. Clients are not notified prior to the liquidation of their positions. (Top)

No. FXDD charges no commission or transaction fees to trade an FXDD Mini account. As the leading player in online currency trading, FXDD receives and is able to pass on the benefits of size to our clients. FXDD is compensated for its services through the bid-ask spread. (Top)

No. FXDD does not accept personal checks for Mini accounts. Funds may be sent via wire, Certified, Official or Bank Check, ALL checks must be sent to the address and Name on the applications. (Top)
|