With over 150 instruments there are 5 sets of leverage available with Pepperstone offering up to 30:1 for currency (forex) trading, up to 20:1 for Gold and index CFDs, 5:1 for share CFDs and up to 2:1 leverage on cryptocurrency trading.
Pepperstone maximum leverage varies by instrument traded and is one of the highest levels available, as you can view from the broker leverage comparison page. Leverage can be adjusted based on your trading needs directly from the secure client area.
Below shows the leverage available to traders signed up to the broker’s Australian entity regulated by ASIC. CySEC in Europe enforces the same leverage cap, as does the FCA in the UK. Yet, the FCA recently banned cryptocurrency trading entirely, unless you classify as a professional trader.
View the Pepperstone leverage levels by each market below apply for the Standard and Razor account.
The overall rating is based on review by our experts
The most popular markets traded with Pepperstone is forex related. There are over 60 currency pairs to choose on and $0 deposit options available. The two Pepperstone accounts are shown below and both offer up to 30:1 retail leverage and 500:1 professional leverage on currency trading. This can be set to a lower level when joining to suit a traders risk profile and forex trading experience.
The average spread on the most popular currency pairs is 0.09 pips on EUR/USD respectively 0.17 pips on AUD/USD. This brokerage trading firm uses a global network of liquidity providers and “external pricing sources” to give its clients the lowest spreads in the FX industry.
When trading indices, the leverage limit depends on the type of stock market index:
Fourteen Index CFDs can be traded as shown below. With 20:1 leverage, retail traders can choose indices and choose a long or short position. Only spreads exist for index CFDs with no commissions present.
A currency index compares changes of one currency basket against another one. The USDX is the most popular currency index CFD traded with up to 5:1 leverage available to retail traders and 100:1 for professional traders. This basked is weighted against other popular currencies from the Yen to the Euro.
Share CFDs are available to Pepperstone customers who choose MetaTrader 5. Using MT5, selected shares can be traded as a CFD with 5:1 leverage (retail) or 20:1 (professional). These CFDs can be traded across extended US equities hours. This can help minimise the need to hold positions overnight. Over 60 shares are available from IBM, Alphabet to Facebook.
Please take note that share CFD trading is only available with a MetaTrader 5 (MT5) trading account. The MetaTrader 4 platform and cTrader trading platform don’t support share CFDs.
There are three types of commodity CFDs with an applicable leverage level.
The most popular precious metals being Gold can be traded with Pepperstone through CFDs with leverage of:
Leverage can be used with short/long positions against the most popular currencies including the USD, Euro and the Australian dollar.
Energy in the form of oil can be traded with 100:1 leverage as a CFD if you are a professional trader, and 10:1 as a retail trader.
Other commodities such as softs (physical assets from sugar, orange juice to coffee) and other precious metals offer leverage of 10:1 for retail traders and 50:1 for professionals.
Risk Warning: CFDs are complex instruments due to the inherent risk associated with leveraged trading and volatility.
Crypto is the most volatile asset Pepperstone offers. The higher risks involved in these movements is why Pepperstone leverage is 2:1 when you are classified as a retail investor account (the lowest of any asset class). Even as this lower leverage your capital is at risk and cryptocurrency CFD trading is recommended for advanced traders. The cryptocurrencies available are Bitcoin, Bitcoin Cash, Dash, Litecoin and Ethereum.
If you are a professional trader, you are offered higher leverage when crypto trading, up to 20:1.
The Australian Securities and Investments Commission (ASIC) which regulates the financial sector in Australia has set a maximum leverage cap of 30:1 for forex trading. Readers must be aware that from the 29 April 2021, new guidelines were enforced in regards to the maximum leverage limits.
The maximum leverage has been reduced to 30:1, which falls in line with other top tier regulators. Similar regulatory changes took place in the United Kingdom in 2018, when the Financial Conduct Authority (FCA) capped the maximum leverage to 30:1. The new ASIC changes will ensure that all retail investor accounts will be safeguard with Negative Balance Protection (NBP). By comparison, in the DFSA (Dubai) jurisdiction, the maximum leverage is capped at 50:1.
You can read more about the reduced maximum leverage limits here 2021 ASIC Forex Trading (CFD) ASIC Changes.
Pepperstone in 2021 is considered the best forex broker for advanced traders compared to brokers like FXCM and OANDA. To open a Pepperstone account or open a demo account, click on the button below.
Pepperstone Limited allows its clients to deposit and withdraw funds via 8 different payment methods including credit card, bank transfer, PayPal, Neteller, Skrill, etc. The minimum deposit at Pepperstone is AUD $200 for both account types – Standard account and Razor account. There is a diverse selection of 10 different account base currencies (AUD, USD, JPY, GBP, EUR, CAD, CHF, NZD, SGD and HKD) meeting the needs of a worldwide geographical client base.
On the key features of this CFD broker are the low spreads starting from 0.0 pips, exceptional trade execution of 30ms, award-winning customer support, powerful range of trading platforms that include full trading functionality even on the mobile app (Android and iOS), third-party tools Autochartist, social trading features and premium educational resources (webinars, trading guides, blogs, etc).
Before determining which level of leverage is appropriate for your trading purposes its integral that you seek independent advice and understand what your objectives and financial circumstances are. Trading decisions should not be based on generalised reviews.
Leverage offered by Pepperstone is limited in regions like the UK. Their subsidiary Pepperestone limited meets FCA requirements for retail brokers which can be viewed on the UK Pepperstone leverage page.
Justin Grossbard has been investing for the past 20 years and writing for the past 10. He co-founded Compare Forex Brokers in 2014 after working with the foreign exchange trading industry for several years. He also founded a number of FinTech and digital startups including Innovate Online and SMS Comparison. Justin holds a Masters Degree and an Honours in Commerce from Monash University. He and his wife Paula live in Melbourne, Australia with his son and Siberian cat. In his spare time, he watches Australian Rules Football and invests on global markets.