Managed forex trading accounts

Forex is attracting more and more private investors, but some do not require the time or skills to profitably trade a trader. These people generally want to diversify their invested capital and savings on the stock exchange to spread the risk across multiple financial products. A managed accounts offer the possibility of investing in the currency market without any knowledge of trading.

There are several brokerage firms that offer discretionarymanagement accounts to their clients. These investment funds operate primarily in currencies, but can also address other underlying products such as exchange or commodities. Private investors who delegate the management of their account to a professional operator that greatly increase their chances of making money, because in foreign currencies they are the professionals that generate the greatest amount of profits.

The return on investment of a forex account managed by a competent trader is between 1 and 20% per month. The rates applied by the manager of the trader are generally between 10 and 40% of the benefits. Trading in the currency market is highly speculative, capital gains are not guaranteed, some months may be negative. In general, if a month ends in loss, there is no management fee.

The evolution of the account can be accessed in real time by the investor who can withdraw the funds at any time. Depending on the discretionary management companies, a percentage commission on the amount of the withdrawal may possibly be charged if the investor withdraws funds before a date set in advance.

Forex accounts are often managed by a robot that is automated trading using a computer program called "Expert Advisor, EA". However, there is always a human being who regularly trades trades to intervene in the event of a robot failure that speculates round the clock on the exchange rate market.

There are also Forex brokers who offer their clients PAMMaccounts. These accounts exactly replicate the trades of other broker clients, the investor has access to past statistics and can compare the performance of other traders. Then you only have to select one or more managers to allocate capital and the risk assumed in various strategies.

Forex risk notice

Managed currency accounts do not guarantee a profit, past performance is not a guarantee of future results. Investing in foreign exchange and financial products for leverage is highly speculative and can result in total loss of capital. Make sure you understand the risks involved before investing in a managed forex account. It is recommended not to invest more than 10% savings in capital investment such as risky Forex trading.