Why Would a Professional Trader Choose Isolated Margin over Cross Margin?
A professional trader would choose Isolated Margin for precise risk management. It allows them to cap the maximum loss on a specific trade to the margin allocated, preventing a loss from affecting their entire account balance.
This is ideal for speculative or high-leverage trades where the trader wants to isolate the risk. Cross Margin is often preferred for hedging or low-leverage trades where the overall account balance provides a deeper margin pool.