Risk Management

At City Index we provide a range of products, tools and resources to help you manage your risk and empower your decision-making.

Knowing the risks

Experienced traders know that understanding risk and finding effective ways to manage it are fundamental parts of a successful trading strategy. By using risk management tools effectively, you could limit potential losses without capping your profit potential. When trading CFDs, there are two major risk factors to consider:

Leverage

CFDs are a leveraged product, so you only need to deposit a small percentage of the overall trade value. This means that losses, as well as wins, are magnified and you could lose more than you deposit if the market moves against you.

Volatility

Markets can move quickly and unexpectedly, reacting to a range of different factors, including announcements, political decisions, or even natural disasters. While volatility can provide trading opportunities, it can also result in sudden or unexpected losses.

You can find out more about the risks involved with trading CFDs in our dedicated Trading Academy

Trade with limited risk

Amongst our wide range of risk management tools, we offer two exciting options to trade with limited risk, designed specifically to help protect your funds. Trade with confidence and flexibility knowing that your risk is fixed, whilst your potential gains remain unlimited.

Knockout options

An exciting, innovative and simple way to trade a range of major FX, Indices and Commodities markets. Knockout Options have a range of unique benefits and features, including:

  • Limited risk with guaranteed protection
  • Guaranteed closeout price
  • Flexible margin
  • Simple, transparent pricing
Guaranteed stop loss orders (GSLO)

Use guaranteed stops to ensure your trade closes at the exact level chosen by you - even if market gapping or slippage occurs. Key features include:

  • Guaranteed closeout
  • Cost-effectiveness
  • Availability on 4000+ markets
Orders as risk management tools

Discover our range of orders which can be used as effective risk management tools.

Stop loss
Stop Loss

A stop loss can be used to automatically close a trade to limit your losses in case a market moves against you

Trailing stop
Trailing Stop

Trails the current market price by a set number of points to help you minimise losses without limiting potential gains

Limit order_Omni
Limit Order

A limit order can be automatically set to close a trade at a better price than the current available price for a profit

Test drive a trading account

Open a risk-free demo account and practice trading with $20,000 virtual funds

Other resources for managing risk

No matter what your current level of experience is, we can help you learn about effective risk management and improve your trading skills with a range of educational tools and resources.

Financial strength and stability
Financial strength and stability
How to manage risk

Discover techniques to improve your trading and manage risk effectively.

Education Grad
Education Grad
Education

Learn more about managing risk with our dedicated Trading Academy.

Economic calendar
Economic calendar
Economic calendar

Understand the impact of key market-moving events and plan your trading strategy.

News
News
Expert news and analysis

Keep on top of market news and events with analysis from our experts.