What’s Allowed?
Type of Hedging | Allowed? |
Hedging within the same account | Yes |
Hedging across multiple accounts | No |
Traders are permitted to hedge positions within a single account. This means you can hold both long and short positions on the same instrument, but only on the same account.
What’s Not Allowed?
Hedging across multiple accounts is considered a risk violation and will be flagged by our risk team. This includes using two or more accounts to open offsetting positions on the same instrument simultaneously.
Why This Matters
Hedging across accounts can manipulate risk exposure and undermine the integrity of fair trading practices. To maintain a level playing field, all hedging must occur within the same account only.