Exposure is not the same as your deposit.
In a simplified example, 1,000 of your own money supporting a 10,000 position creates 10× exposure. A 5% adverse move on the position is a 500 loss: half your original money. That is before funding costs, fees or the effect of forced closure.
The simplified model is not a liquidation forecast.
A platform may close a position before the arithmetic reaches a 100% loss. Price gaps can also make a planned exit execute at a worse price. The precise outcome depends on the instrument, collateral, broker terms and local rules. FINRA’s risk disclosure →
“Can lose more than your deposit” needs context.
Some products and jurisdictions provide retail negative-balance protection; others do not. Do not assume a protection applies because you saw it in another country or on another app. The FCA describes protections for UK retail CFDs in its 2019 announcement.
A warning, not a trading system.
Our calculator makes the multiplication visible. It does not choose a “safe” leverage level, tell you where to put a stop, or recommend a trade. No neat calculator can remove uncertainty from a live position.