Synthetic Indices Lot Size Calculator
Calculate the correct position size for Volatility Indices, Boom & Crash, and Step Index based on your account balance and risk tolerance — before you place a trade.
What Are Synthetic Indices?
Synthetic indices are simulated markets created by Deriv that mimic the volatility of real-world financial markets without being tied to any actual stock, currency, or commodity. Unlike forex pairs or gold, synthetic indices are generated by an audited random number generator, which means they are not affected by news events, market hours, or economic data releases. They trade 24 hours a day, 7 days a week, including weekends and holidays — something no traditional forex pair or index offers.
Because each synthetic index behaves differently — some move in small, frequent steps, others spike suddenly — the position size (lot size) that is safe to trade varies significantly between them. Using a lot size calculated for Volatility 75 on Boom 1000, for example, can expose an account to far more risk than intended, because Boom 1000's occasional sharp spikes behave very differently from Volatility 75's steadier movement. This is the core reason a dedicated calculator for these instruments is useful: generic forex position-size calculators are not built with synthetic indices' behavior in mind.
Why Lot Size Matters More on Synthetic Indices
On a standard forex pair, contract size and pip value are fairly predictable and widely documented, because thousands of brokers offer the same underlying currency pairs. Synthetic indices are different: they are proprietary instruments, so their contract size, tick size, and margin requirements are set by the broker offering them, and can occasionally be adjusted. A trader who assumes a fixed value without checking the current specification risks calculating a lot size that is too large for their account balance — which, combined with the sharp, sudden moves that instruments like Boom and Crash are known for, can lead to account-wiping losses far faster than in traditional markets.
The safest habit is simple: before every session, or whenever switching between instruments, glance at the contract specification for that index in your trading platform, and use that number in a calculator like this one rather than relying on memory or a number seen on a forum months ago.
Overview of Each Instrument
Volatility Indices (10, 25, 50, 75, 100)
Volatility Indices simulate a market with a constant, fixed level of volatility — the number in the name (10, 25, 50, 75, or 100) represents the annualised volatility percentage. Volatility 75 is the most widely traded of the group, offering a balance between movement and stability that suits both short-term scalping and longer swing positions. Volatility 10 moves the least and is often used by newer traders to get comfortable with the instrument's behaviour before stepping up to higher volatility levels.
Boom and Crash Indices
Boom indices trend gradually downward punctuated by sudden sharp upward spikes, while Crash indices do the opposite — trending gradually upward with sudden sharp drops. The number (300, 500, or 1000) indicates, on average, how many ticks occur between spikes: Boom 300 and Crash 300 spike more frequently than Boom 1000 and Crash 1000. This makes position sizing especially important here, since a spike can move price dramatically in a single tick.
Step Index
Step Index moves in fixed-size steps up or down with equal probability each tick, making it one of the more predictable synthetic indices in terms of movement size, though not in terms of direction.