What does ‘leverage’ mean?

In the trading world, ‘leverage’ refers to a loan, given to an investor, where the broker and investor expect the value of the investment to grow faster than the interest on the loan payments.

Typically, leverage is shown as a multiplier: x10, x30, x50, x100 or x200. The best platforms will let you choose the multiplier to suit your own investment needs and willingness to risk.

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