“Is It Possible to Pay Someone to Trade Forex for Me?”
I have heard that phrase many times during the time I have been involved with this website and my other websites.
The simple answer to this question is that, yes, there are companies that trade forex on your behalf
The word “pay” is slightly erroneous because you don’t actually pay the company from your own money, the forex trader will get his payment from the profits that you make on your account. So yes, he gets paid because of you but it doesn’t actually cost you anything.
The type of investment that will get someone to trade for you is called forex managed accounts. Check out our sister site www.acorn2oak-fx.com/managedforexaccounts/blog/ukcitizens.html
They are not widely known as they are a type of alternative investment and are therefore different from traditional investments such as insurance, savings accounts, bonds, mutual funds etc.
A managed account that will trade your forex account for you are becoming more and more popular year by year, mainly because ease of access.
Only a decade ago, it was only high net worth individuals and institutional investors that had a minimum of 100,000 dollars and more often 1,000,000 dollars to take part in this investment, and they had to be invited to join.
Nowadays, managed forex companies will trade forex on your behalf with as little you depositing a minimum opening balance of £5,000 or $10,000 dollars. Some companies will let you start with as little as $1,000, but I would be very aware of these companies as the will not be regulated by the regulating body, such as the FCA (Financial Conduct Authority) in the UK.
Why Let Someone Trade Forex for You? A Little Background Information
People that want to invest their funds will discover a forex managed trading account an ideal medium to build up profits in the long term as they start to soar over time because of the compounding effect of those profits.
For the short term investors such as pensioners and those that want a monthly income it could be an ideal investment because funds can be taken out as a portion of their month to month cash flow.
Forex trading has the potential to make great profits for customers. Nevertheless, before investing into a managed currency exchange account, there are numerous questions that should be considered. Below, I found some of the most common concerns that clients ought to weigh up.
Most importantly, while aiming to obtain the largest profits, the chief objective of the trader and management team is to protect the investment of the depositor. Many trading groups will have a maximum drawdown limit to keep losses to a quantified amount. Depending on saver’s individual risk profiles, these drawdown limitations need to be considered.
Account managers make their money by charging the client a performance fee. They fluctuate with various firms but usually they are between 25 to 50 per cent. Don’t let the larger fees discourage you because in numerous instances, the profits are much greater than those whose performance fees are smaller.
A limited power of attorney (LPOA) is granted to the agent by the depositor so that the dealer can access the account merely to position the trades. Dealers will not be able to withdraw funds from depositor’s account aside from performance charges.
The FX market does not have a central location and is dealt all over the planet which means that operating can happen twenty four hours each day.
The client can withdraw cash and add capital from the trading account as and when they like since they have total control of the account. It is in the client’s name or business name. As long as all positions are closed, the account can be closed down at any time.
The operating platform that the traders use to position the dealings can be loaded down onto the depositor’s laptop or computer. It will be in view only mode, however and the depositor cannot position any transactions on it. If any transactions are occurring at the time, the customer can view them taking place as they take place. Reports will be able to be downloaded from the trading system.
The smallest investment sum differs from managed foreign exchange group to group. Some begin with as little as £5,000 or $10,000 dollars to begin, and the larger revenue accounts may need millions to commence.
Managed FX accounts are perfect for clients who have no time or aspiration to study how to deal on their own. It is the fact that it is a hands off alternative investment that many investors find quite attractive.
The amount of cash that changes hands every single day is in the vicinity of five trillion dollars so it can’t be swayed by other factions as does the stock market.
Paying someone to trade forex for you has the potential to create big returns whatever the fees are incurred and kind of account so they are a superb investment option. Leaving income to build over time is the key element conversely because in a handful of years, they will go through the roof due to compounding profits. Investors who put money into a foreign currency account are keen on the fact that it is a hands free category of investment which allows them to take profit from the forex marketplace without having to do all of the work.