IC Markets Leverage Explained (2025) – How High Can You Go?
Leverage can significantly amplify both profits and losses. Additionally, IC Markets provides some of the highest leverage in the industry, but limits vary depending on your region and account type. Therefore, understanding how leverage works is crucial before you start trading.
In this guide, we will explore the maximum leverage IC Markets offers, restrictions based on regulations, and how you can adjust leverage for your account. Moreover, we will highlight key risk management strategies to help you trade safely.
What is Leverage in Forex & CFD Trading?
Leverage allows traders to control a larger position with a smaller amount of capital. For example, with a leverage of 1:500, a trader can control a position worth $50,000 by using only $100.
As a result, traders can maximize their potential returns with minimal upfront capital. However, high leverage also means that losses can accumulate quickly if the market moves against your position. Therefore, risk management strategies are essential when trading with leverage.
How Does Leverage Work?
Leverage is expressed as a ratio, such as 1:50, 1:100, or 1:500. The higher the leverage, the more capital you can control compared to your initial deposit.
- With 1:50 leverage, you can trade $50 for every $1 in your account.
- With 1:100 leverage, you can trade $100 for every $1 in your account.
- With 1:500 leverage, you can trade $500 for every $1 in your account.
Advantages & Risks of Using Leverage
Leverage can be highly beneficial for traders, especially those looking to capitalize on short-term price movements. However, it also increases risk exposure.
| Advantages | Risks |
|---|---|
| Maximizes potential returns with a small deposit | Magnifies losses if the trade goes against you |
| Allows traders to access larger positions | Increases margin requirements |
| Ideal for short-term traders & scalpers | Higher chance of margin calls |
What is the Maximum Leverage at IC Markets?
IC Markets offers some of the highest leverage in the industry. However, leverage limits vary based on regulatory restrictions, account type, and asset class. For instance, international clients can access up to 1:500 leverage, while traders in Australia and Europe face stricter limits.
Leverage by Regulatory Region
Leverage restrictions are imposed by different regulators to protect traders. Consequently, your maximum leverage depends on your region.
| Regulator | Max Leverage | Region |
|---|---|---|
| ASIC (Australia) | 1:30 | AU Clients |
| CySEC (Europe) | 1:30 | EU Clients |
| FSA (Seychelles) | 1:500 | International Clients |
Leverage by Asset Class
Additionally, leverage varies depending on the asset being traded. Forex pairs have the highest leverage, while cryptocurrencies and stocks have much lower limits.
| Asset Class | Max Leverage |
|---|---|
| Forex (Major Pairs) | 1:500 |
| Forex (Minor Pairs) | 1:200 |
| Indices & Commodities | 1:200 |
| Stocks & Shares | 1:20 |
| Cryptocurrencies | 1:5 |
Which IC Markets Account Type Offers the Best Leverage?
All IC Markets account types provide 1:500 leverage for eligible clients. However, leverage may be reduced based on regulatory rules or risk management policies.
- Standard Account – 1:500 (Best for beginners)
- Raw Spread Account – 1:500 (Best for scalpers & professionals)
- Islamic Account – 1:500 (Swap-free trading option)
How to Change Your Leverage at IC Markets
IC Markets allows traders to adjust their leverage settings based on their risk preference. However, the ability to change leverage depends on your regulatory region and account type. Therefore, it is important to understand the process before making adjustments.
Step-by-Step Guide to Changing Leverage
To modify your leverage settings, follow these simple steps:
- Log into Your IC Markets Account
Firstly, visit the IC Markets login page and sign in to your account.
- Go to the Account Settings Section
Once logged in, navigate to the Account Settings section from your dashboard.
- Select the Account You Want to Modify
Choose the trading account for which you want to change the leverage settings.
- Request a Leverage Adjustment
Additionally, look for the option to adjust leverage and select your preferred ratio, such as 1:50, 1:100, or 1:500.
- Submit Your Request
Confirm your selection and submit your request. As a result, your leverage setting will be updated once approved.
- Wait for Approval
IC Markets may review your request based on your trading history and risk profile. In some cases, additional verification might be required.
Important Considerations Before Changing Leverage
- Not all clients are eligible for 1:500 leverage. Limits may apply based on regulation.
- Increasing leverage raises both profit potential and risk exposure.
- Leverage changes are usually processed within 24 hours.
Pros & Cons of Using High Leverage
Leverage can be a powerful tool for traders looking to maximize their profits. However, it also increases risk exposure. Therefore, understanding the pros and cons of high leverage is essential before making trading decisions.
Advantages of High Leverage
High leverage offers several benefits that can enhance trading opportunities. For instance, it allows traders to control larger positions with a relatively small investment.
- Enables traders to open larger positions with minimal capital.
- Increases potential returns on successful trades.
- Allows for more flexibility in trading multiple assets.
- Can be useful for short-term strategies, such as scalping.
Risks of High Leverage
However, using high leverage also comes with significant risks. As a result, traders need to manage their exposure carefully.
- Magnifies losses just as much as profits.
- Increases the likelihood of margin calls.
- May lead to account liquidation if risk management is not applied.
- Not recommended for beginners without experience in managing risk.
Should You Use High Leverage?
Ultimately, high leverage is a double-edged sword. Additionally, it works best when combined with a solid risk management strategy. If used wisely, it can help traders amplify their potential returns, but excessive use without risk control can lead to significant losses.
IC Markets Leverage Restrictions & Risk Management Tips
While IC Markets offers high leverage, restrictions apply depending on regulatory oversight and account type. Additionally, traders should adopt strong risk management techniques to protect their capital.
Leverage Restrictions by Regulation
For instance, traders in Europe and Australia face stricter leverage limits due to regulatory policies. As a result, the maximum leverage varies by region.
| Region | Regulator | Max Leverage |
|---|---|---|
| Australia | ASIC | 1:30 |
| Europe | CySEC | 1:30 |
| International | FSA | 1:500 |
Essential Risk Management Tips
Therefore, managing leverage wisely is crucial for long-term success. Here are key risk management strategies:
- Use stop-loss orders to limit potential losses.
- Avoid overleveraging by maintaining a sustainable margin level.
- Regularly monitor market conditions to adjust risk exposure.
- Only trade with capital you can afford to lose.
Does IC Markets Enforce Margin Calls?
Yes. IC Markets has an automatic margin call policy to prevent excessive losses. Additionally, if a trader’s margin level falls below the required amount, positions may be liquidated.
IC Markets Leverage – Frequently Asked Questions (FAQ)
Does IC Markets offer 1:500 leverage to all traders?
No, the 1:500 leverage is only available to international clients under FSA regulation. Additionally, traders in Europe and Australia have a maximum leverage of 1:30 due to regulatory restrictions.
Can I change my leverage at IC Markets?
Yes, traders can request a leverage change through the Account Settings section in their IC Markets dashboard. However, the ability to increase leverage depends on your trading history and risk assessment.
What assets have the highest leverage at IC Markets?
For example, major forex pairs have a maximum leverage of 1:500, while cryptocurrencies are limited to 1:5. As a result, forex traders benefit the most from high leverage.
Does IC Markets enforce margin calls?
Yes, IC Markets has a margin call policy to protect traders from excessive losses. Therefore, if your margin level drops too low, your positions may be liquidated to prevent a negative balance.
Is high leverage risky?
Yes, while high leverage can increase profits, it also amplifies losses. Additionally, using excessive leverage without a proper risk management strategy can lead to rapid account depletion.
Should beginners use high leverage?
Beginners should be cautious with leverage. Instead of using the maximum leverage, it is advisable to start with lower ratios and develop a risk management plan before scaling up.
Ready to Trade? Open an IC Markets Account Today!
IC Markets offers high leverage, low spreads, and fast execution. Furthermore, signing up takes only a few minutes, allowing you to start trading with leverage up to 1:500.
Why Choose IC Markets?
- ✅ ASIC & CySEC Regulated – Trade with a trusted broker.
- ✅ Leverage up to 1:500 – Access high leverage for maximum flexibility.
- ✅ Tight Spreads & Fast Execution – Ideal for scalping and day trading.
- ✅ Multiple Trading Platforms – MetaTrader 4, MetaTrader 5, and cTrader.
Get Started Now
If you are ready to start trading, take the next step today. As a result, you can access global markets with one of the most competitive brokers in the industry.
