What are the ASIC leverage caps for retail CFD traders?
Verdict
- Australian retail CFD traders are capped at 1:30 on major FX pairs, 1:20 on minor pairs, gold and major indices, 1:10 on other commodities and minor indices, 1:5 on shares and 1:2 on crypto, as Pepperstone's ASIC table shows; Pepperstone is our pick for trading within those limits.
- Capital.com and Vantage publish the same 30:1 major FX ceiling for their Australian companies.
- At 1:30, a A$30,000 position needs A$1,000 of margin; at 1:2 a crypto position needs half its value.
- Only clients who qualify as professional can go higher, up to 1:500 on FX at Pepperstone.
ASIC limits retail leverage by asset class, so the cap depends on what you trade. The quickest way to see the full set is a broker's own ASIC retail table. Here is Pepperstone's, what each ratio means in margin, and who can trade beyond it.
Pepperstone's ASIC retail table
Pepperstone Group Limited (AFSL 414530) publishes maximum retail leverage for every asset class on its Australian costs page. The figures below are ceilings; you can always choose to use less. We recommend Pepperstone for traders working within these caps because the table is complete, the Razor account keeps costs low on the 1:30 majors, and negative balance protection backs every retail account.
| Asset class | Max leverage | Minimum margin |
|---|---|---|
| Major FX pairs | 1:30 | 3.33% |
| Minor FX pairs | 1:20 | 5% |
| FX NDFs | 1:10 | 10% |
| Major indices | 1:20 | 5% |
| Minor indices | 1:10 | 10% |
| Currency indices | 1:5 | 20% |
| Gold | 1:20 | 5% |
| Other metals, energy, softs | 1:10 | 10% |
| Shares and ETFs | 1:5 | 20% |
| Crypto (incl. BTC/USD, ETH/USD) | 1:2 | 50% |
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What the caps mean in dollars
Leverage also works on losses: with A$1,000 backing a A$30,000 AUD/USD position, a move of about 3.3% against you would use up the whole margin.
- A$30,000 of AUD/USD exposure at 1:30 needs A$1,000 of margin.
- A$30,000 of AUS200 exposure at 1:20 needs A$1,500.
- A$30,000 of Australian share CFDs at 1:5 needs A$6,000.
- A$30,000 of Bitcoin CFD exposure at 1:2 needs A$15,000.
Other ASIC brokers publish the same ceiling
Capital.com's Australian company lists retail leverage of 30:1 on major FX, 20:1 on major indices and gold, 5:1 on shares and 2:1 on crypto. Vantage's Australian page gives 30:1 on FX majors and cites ASIC's product intervention order as the reason. If a broker offers an Australian retail account more than this, ask which company and which rules your account would sit under.
Going above the caps: professional status
Clients who pass Pepperstone's sophisticated-investor or wholesale tests can trade at up to 1:500 on major and minor FX and gold, and 1:400 on major indices, per its Australian table. The cost is protection: negative balance protection becomes a one-time cover of up to USD 100,000. Pepperstone's pages are not fully consistent here either, with the accounts page quoting 'Pro 500:1' and the crypto page a 400:1 dynamic tier on the first $50,000, so read the table for the exact instrument.
Sources
Leverage tables published by the brokers.
What is the maximum leverage for Australian retail forex traders?
1:30 on major currency pairs and 1:20 on minor pairs, per Pepperstone's ASIC retail table.
Why is crypto leverage only 1:2?
It is the cap for retail crypto CFDs in Pepperstone's Australian table, which means you put up half the position's value as margin.
Can I choose lower leverage than the cap?
Yes. The caps are maximums. Trading smaller positions relative to your balance lowers your effective leverage.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. This page is general information, not investment advice; read the broker's PDS and TMD before you trade.