Admiral Markets, a leading online trading service provider offering investment services for trading with Forex and CFDs, has issued a volatility warning to its clients who trade Swiss Franc (CHF).
According to the announcement, there may be an increase in market volatility in all CHF currency pairs due to increased speculation around potential Swiss National Bank actions in financial markets in the weeks ahead.
The broker highlighted that the following risk factors could be feasible: sharp moves and significant gaps in market prices, especially in CHF pairs and Swiss index; limited liquidity; reduction of available leverage; significantly higher overnight fees; relevant instruments and/or overexposed accounts going into 'close-only' trading mode without notice; changes to supported trade sizes and trading session times; introduction of per-account CHF exposure limits; further changes of trading conditions of CHF or other closely related currencies on a very short or even without any advance notice.
"Although there are no immediate changes to our service to you, we retain the right to introduce changes to trading terms as we will deem necessary to ensure better investor protection and orderly trading during highly volatile periods in currency and any other relevant markets," the broker said.
Earlier this month, Admiral Markets has named its Chief Information Officer (CIO) Andrey Koks as a new member of the Management Board.