Forex Trading On Margin
One of the 
attractive features of forex trading for investors is the ability to trade on margin. While margin trading is highly regulated in the stock and futures markets the forex markets remain decentralized and the amount of margin allowed is set by the brokerage firms themselves.
If an investor uses a margin account they are borrowing to increase the size of their account and achieve greater returns on their investment. Once an investor has found a broker a margin account is set up. In essence the investor is taking a short term loan from the broker and the funds can then be used to invest in and trade currencies. The investor sets up an account and the margin percentage is then negotiated between the broker and investor.
