Traditional forex trading is high risk and can be challenging, especially for beginners. On top of that, intricate, complex ways of the financial markets can be confusing for the beginning traders. Tasks like analyzing different kinds of data and signals, various trading styles, keeping track of trading time – can be very intimidating to those who do not possess the free time necessary to study this field and for staying up to date. Loss rates tend to be high since success demands specialized knowledge, experience, and emotional control. It is easy to become impatient, look for shortcuts, and then allow your emotions to take over, a recipe for failure.
For those interested in Forex trading but lacks the time or experience (or both), the managed forex account is an exceptionally alluring offer.
WHAT IS A MANAGED FOREX ACCOUNT?
A managed forex account is a trading account whereby the owner of the account deposits funds and allows an account manager the right to trade on the owner’s behalf. While the goal for having an account manager is generally to alleviate the owner from getting involved in trading-related decisions, nevertheless, having a good understanding of how the forex market works and the dynamics involved are very helpful in attempting to identify a suitable account manager
TRADED BY AN EXPERT
A managed forex account allows a professional manager (or someone who claims to be so) to trade your funds on your behalf for a salary or a fixed share of the profits. You may select a specialized firm for this purpose or a broker that offers a sophisticated software feature that permits your account balance to be traded by an expert. The following service does provide an extra level of risk protection. You must always be careful in selecting a money manager that you can trust, and that has earned a good reputation in the industry. While most money managers are legitimate, there have been several notable scams in the past
GAIN SUCCESS WITH LESS RISK
As with other online trading platforms that assist novice, intermediate, and advanced investors, managed online accounts are a relatively easy way for investors to gain access to the currency markets with less risk than attempting to develop an independent forex investment strategy. A managed account also brings you the expertise of not just one trader, but a network of traders, researchers, and forecasters that have skills in different aspects of foreign exchange. That’s why the best reason to start with this option is that you can take advantage of their skills and follow their proven trading strategies
YOUR TRADING IN SAFE HANDS
A common rule for all regulated brokers is that the client allows the forex asset managers to trade on their behalf, which helps the broker to pay a monthly performance fee to the asset manager. This fee is calculated using only the profits that the client’s account has earned over the last month. It’s crucial to note that the forex account management agreement never allows the asset managers to add or withdraw funds from the client’s account. The international anti-money laundering laws only will enable the client to make any additions or withdrawals to their broker’s account.
TRANSPARENCY
A Forex managed account provides both the money manager and the investor with a transparent environment, safety, and security of funds. There are benefits for both sides; the money manager earns an extra profit from collecting the management fee while the investor can make profits from the Forex market without the need to have a strategy. Since managed trading accounts will require a forex account manager to execute transactions, you will want to make sure that you have done your necessary due diligence and reviewed the past performance of the account manager you wish to hire
Ultimately, you’re free to do whatever you want with your own money. You are free to turn each penny into thousands of dollars, but you are also free to turn your millions or thousands into pennies or nothing if that is your desire. But if you prefer the first option then account management is the safest way to trade in Forex.
If you think that forex account management can be the best solution for you, our PriceACtion Forex team can also help you. Simply contact us on Telegram here – @Pafx_AccM
