Risk
How leverage and margin work
September 15, 2026 · Bear Markets
Published by the Bear Markets website team. This article does not name an individual adviser or cite personal credentials.
Leverage lets a position be larger than the cash set aside for it. Margin is that cash. Both can change.
Leverage is a ratio. A ratio of 1:30 means a position can be about thirty times the margin set aside for it. The same price move is therefore larger, in cash terms, than it would be without leverage.
Margin is the amount the account must hold to keep the position open. A margin call is a request, or an automatic restriction, when the account falls to a published level. A stop-out is the level at which positions may be closed. Bear Markets has not published those levels, so the account table does not invent them.
Leverage does not improve the odds of a trade. It scales the result. A move in your favour is larger, and a move against you is larger as well. If the price gaps past a level you had chosen, the account can still be closed at a worse price.
Before using leverage, read the risk disclosure and check the maximum ratio that applies to the account you actually hold. A ratio printed in a marketing example is not your ratio.
