How ESMA reshaped retail CFD leverage, and why the caps never left
What ESMA's 2018 leverage caps actually say, the loss statistics behind them, and how a three-month emergency measure became permanent across Europe.
Departments
Regulation
What the rulebook actually says, read from the primary texts.
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What a loss percentage actually tells you
The mandated CFD warning is the most standardised sentence in retail finance. Here is exactly how the percentage is computed, and what it can't tell you.