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Definition

Leverage

Buying power relative to account size (e.g. 1:100). It scales position capacity, not your risk budget.

Prop accounts commonly offer 1:30–1:100 on forex. Leverage determines the maximum size you CAN open; drawdown rules determine what you SHOULD.

Chasing high leverage misses the point in a funded model — the constraint that ends accounts is the loss limit, which leverage cannot expand.

Related terms

General industry definitions — individual firms define terms differently in their own ToS; the decoded rulebook for each firm is the source of truth. Educational, not financial advice.