OANDA Japan Inc., a subsidiary of the global online broker OANDA Corporation, has announced a significant change in its trading operations.

Starting Monday, August 12, 2024, the company will introduce a market capitalization limit on open interest for its trading servers. This move is set to impact traders on both the NY and Tokyo servers.

For traders utilizing the NY Server, the new rule dictates that the total value of all subaccounts will be considered for determining market capitalization limits. Specifically, if the absolute value of the combined market capitalization of all unsettled short and long positions across all trading accounts on the NY Server reaches $60 million USD, no further orders will be accepted. This measure is aimed at managing risk and ensuring market stability.

On the Tokyo Server, the judgment will be made on an individual subaccount basis. If the total market capitalization in USD of all open short or long positions within a single trading account reaches the $60 million USD threshold, any additional orders will be halted. This approach allows for a more granular control of market exposure on an account-by-account basis.

OANDA Japan has implemented these changes as part of its ongoing efforts to maintain a stable trading environment for its clients. By capping the market capitalization of open positions, the company aims to reduce the risk of overexposure to volatile market conditions.

Traders are encouraged to review their positions and plan accordingly ahead of the implementation date to avoid any disruptions to their trading activities. OANDA Japan has also made its Customer Service Center available for any inquiries or clarifications regarding the new policy.

This change underscores OANDA's commitment to prudent risk management and its dedication to providing a secure trading environment for its clients.