Hantec Negative Balance Protection Policy
Why do I need negative balance protection?
Financial markets can move fast and endure periods of extreme volatility on the back of a complex economic, regulatory, and commercial backdrop. Our Negative Balance Protection Policy (NBPP) provides our clients with a higher degree of risk control and helps to limit the downside risk during unpredictable periods of trading.
With NBPP, Hantec Markets guarantees that any trading losses you may experience will not exceed the total net deposited funds.
A safety net during times of exceptional volatility
Used in combination with other Hantec Markets Risk Management Tools, our NBPP provides additional protection to traders if markets unexpectedly swing significantly in one direction. For example, suppose a position is closed out with a subsequent negative balance. Then, the Hantec Markets NBPP kicks in and will equally offset this portion of the losses to ensure your trading account does not remain below zero.
High volatility creates opportunities for gains but may also open the door to losses. A sudden price change can result in a trading account balance going into negative. That is why negative balance protection is so important.
Who is eligible for negative balance protection?
All new and existing clients of Hantec Markets automatically qualify for our Negative Balance Protection Policy.
Suppose your trading account balance falls below zero. In that case, we will top it back up and clear the negative balance in full as soon as it is practical — at no cost to you.
Clients will have their trading account balance protected from trading losses that exceed the existing net deposited funds on account for up to a maximum of USD 10,000.
Hantec Markets Negative Balance Protection Policy is subject to terms and conditions, which can be found in our general terms and conditions.