What is Equity?
Equity: Your account balance plus the profit or loss of open positions: what the account would be worth if everything were closed now.
More terms
- Demo account
- An account with virtual money and real prices for trying a platform or strategy without risking your own money.
- Drawdown
- The fall in an account from its highest value to the lowest point after it, measuring a run of losses.
- ECN account
- An account that routes your orders to a network of liquidity providers, with raw spreads near zero plus a fixed commission per lot.
- Financial regulator
- A government body that licenses and supervises brokers and sets investor-protection rules, such as the UK FCA, Cyprus CySEC and Australia's...
- Forex
- The global currency exchange market, where currencies trade in pairs such as EUR/USD, open 24 hours a day, five days a week.
- Hedging
- Opening a position that offsets an existing trade or investment to reduce the possible loss if the price moves the wrong way.