
TOKYO -- Japan's Financial Services Agency is considering lowering the maximum leverage allowed on foreign exchange trading by individuals as soon as this spring to curb risk taking.
The agency is studying a proposal to bring the leverage cap from 25-to-1 down to 10-to-1, based on trends in historical market volatility. The change would increase the margin deposit required for trading the same amount of currency by 150% and lower the potential for investment gains.