UK Election May Cause Brokers to Cut Leverage Once More

[kreslik.news]

The upcoming UK election on June 8th is likely to cause some brokers to once again look into increasing margin requirements. The pockets of volatility trend that started with black Thursday on the 15th of January 2015 is now focusing on yet another political event.

After the Swiss National Bank wrecked havoc across the foreign exchange industry, brokers have become way more cautious around major volatility events. The losses that were suffered by the industry in the aftermath of the sudden spike in the exchange rate of the Swiss franc has made companies way more risk-averse.