How is the leverage ratio of foreign exchange transactions calculated? Foreign exchange margin trading is also called foreign exchange leveraged trading. Its main feature is that a small amount of funds is used to control a large amount of funds for highly leveraged trading, thus gaining more profit opportunities. The way of foreign exchange margin trading originated from the futures market. Margin trading means that traders can buy the subject matter with relatively large funds only by paying a certain amount of money for the subject matter they want to trade. For example, if you use a lever 100 times, and now you have a desk object with a value of 1000 yuan, then you only need to pay a deposit of 1000 yuan to purchase the use contract of this object. This is the simplest principle of margin leverage. The leverage in the foreign exchange market refers to the margin required to trade foreign exchange products with different standard contracts. For example, if you are trading in Europe, America or other currency products, you originally needed a base currency of 654,380+0,000 yuan. Now you use 100 or 200 times the lever. At this time, you only need to pay 1000 or 500 base currency to buy this target contract. The more leverage the platform provider provides, the less margin you need to pay.