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.