- Mini Differences
- Dealing Details

Why Trade a Mini Account?
The Friedberg Direct Mini account is designed for those new to online currency trading and those with limited investment capital. There is a smaller deposit required to open a Friedberg Direct Mini account and trading sizes are 1/10th the size of a regular account. The smaller trade size greatly reduces the risk associated with currency trading. Although the Friedberg Direct Mini account provides as much leverage as a regular account, clients have the opportunity to take smaller size positions, taking on less total risk. The Friedberg Direct Mini is intended to introduce traders to the excitement of currency trading while minimizing risk.

Develop a Disciplined Trading Strategy without Focusing on P/L
The Mini account can be a useful asset in assisting traders to cultivate a disciplined trading strategy without focusing on P/L. When trading larger volumes on the standard account, traders with smaller account balances tend to watch their equity fluctuate and base trading decisions on emotional reactions to these fluctuations. For example, such traders tend to resist closing-out trades at a loss, using the rationale that the market will turn around. Undercapitalized traders also tend to immediately take their profits when the market is moving in their direction, rather than maximizing their gains by letting their profits run.

For example, a 20-pip profit on a 100,000 Euro trade is $200. For a $5000 account, this is equivalent to 4% of the account equity, compelling the average trader to take their profit, though the trade has a 100-pip profit potential. On the reverse side, no one wants to realize a $200 loss, so traders tend to hold a losing position until the loss is too much to bear. On the Mini account, this same example would translate to $20, which takes all the emotion out of the P/L, since $20 is insignificant to most traders. A Mini account allows traders to focus on the proper chart points, trade signals, and really learn currency trading without paying as much attention to their $P/L. In the long run, this will hopefully lead to more profits and less losses. Until clients are completely comfortable trading currencies on a highly leveraged basis, trading smaller amounts on the Friedberg Direct Mini is highly recommended.

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MINI DIFFERENCES

The Friedberg Direct Mini account uses the same state-of-the-art trading platform as the regular trading account. There is no additional software to download.

Account Size
The minimum amount that is required to open a Friedberg Direct Mini trading account is $600. Of course, due to the high leverage and the extremely volatile nature of the Forex market, the recommended minimum investment size is $1000.

Trade Size
On the Friedberg Direct Mini trading platform all trades are executed in standard sizes of 10,000 base currency per one lot. There is no maximum trading volume on the Friedberg Direct Mini trading platform.

Pip/Tick Value
Profit and loss is easy to calculate when trading on the Friedberg Direct Mini platform. In the EUR/USD and many other currency pairs, a one pip (or tick) movement in the exchange rate is equal to a one-dollar gain or loss in the account value per lot (and approximately $1 in the 14 other currency pairs).

Margin Requirement
Margin requirements are the same as the regular 100K account. Click here to view new IDA margin requirements.

Spreads:
Friedberg Direct maintains a tight spread of 5 pips in EUR/USD and USD/JPY.

Rollover/Over Night Interest
There is a fixed $1 rollover fee per lot for positions held past 5:00 PM New York time, which is the rollover cutoff.

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DEALING DETAILS

Hours
The dealing desk is continually open between Sunday 5:00 PM New York time and Friday 4:00 PM New York time.

Mode of Dealing
Quotations, Order Placements, and Confirmations available only via the Internet.

Order Sizes:
Trades are executed in standard sizes of 10,000 base currency. Each unit of 10,000 is called a "lot".

• U.S. Dollar/ Japanese Yen (10,000 U.S. Dollars)
• U.S. Dollar/ Swiss Franc (10,000 U.S. Dollars)
• U.S. Dollar / Canadian Dollar (10,000 U.S. Dollars)
• Euro/ U.S. Dollar (10,000 Euros)
• Euro/ Great Britain Pound (10,000 Euros)
• Euro/ Japanese Yen (10,000 Euros)
• Euro / Swiss Franc (10,000 Euros)
• Euro / Canadian Dollar (10,000 Euros)
• Euro / Australian Dollar (10,000 Euros)
• Great Britain Pound/ U.S. Dollar (10,000 Great Britain Pounds)
• Great Britain Pound/ Swiss Franc (10,000 Great Britain Pounds)
• Great Britain Pound/ Japanese Yen (10,000 Great Britain Pounds)
• Swiss Franc / Japanese Yen (10,000 Swiss Francs)
• Australian Dollar / U.S. Dollar (10,000 Australian Dollars)
• Australian Dollar / Canadian Dollar (10,000 Australian Dollars)
• Australian Dollar / Japanese Yen (10,000 Australian Dollars)
• New Zealand Dollar / U.S. Dollar (10,000 New Zealand Dollars)

Types of Orders:
Market, Entry, Stop-Loss, and Limit.

Margin:
Friedberg Direct enables foreign exchange trading to be conducted on a highly leveraged basis. Every client is able to select the degree of leverage or gearing that the client wishes to employ in trading. Unless the client specifies otherwise, Friedberg Direct sets the leverage level at the industry standard. The requirements for leverage vary with account size.

• Minimum $600 opening deposit (however, $1,000 is recommended)

Equity is the value of funds in the account adjusted for floating positions. One lot has an approximate market value of $10,000.

Clients are fully responsible for monitoring the activity in their accounts.

In the event that an account exceeds its maximum allowable leverage, the dealer has the right and will liquidate all positions in the account. This liquidation of all positions will occur, regardless of the size or the nature of positions held within the account.

Rollover/Interest Policy:
In the spot forex market, trades must be settled in two business days. If a trader sells 10,000 euros on Tuesday, the trader must deliver 10,000 euros on Thursday, unless the position is rolled over. As a service to our traders, Friedberg Direct automatically rolls over all open positions to the next settlement date at 5:00 PM New York time. There is a $1 US Dollar Rollover charge per 1 lot.

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