Deposit Bonus

A deposit bonus is promotional credit a broker adds to a trading account, usually calculated as a percentage of the amount funded. Bonus money is generally not withdrawable on its own: the terms typically set a trading volume target, measured in lots, that must be reached before the bonus or profits attributed to it can be withdrawn, and the credit may be removed if funds are withdrawn early. Because bonus credit can count towards usable margin, it can encourage larger positions than a trader intended, which is one reason several regulators restrict or prohibit trading bonuses for retail clients. Availability therefore depends on the jurisdiction and on which group entity a client is onboarded to.