Top 8 Strategies to Find a Good Forex Money Manager

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An increasing number of investors are looking into the currency market as a way of beating the stock market blues.. Whilst many people lost money in the recent crisis, investors in the currency market reaped large rewards, and as a result, more and more forex money managers are offering management services through managed forex accounts. This provides investors with a number of benefits.. This item explores why this has been the case, and investigates why managed forex accounts can be such a good investment.

So why hire a forex money manager to look after your funds? Perhaps the obvious reason is that they are professionals, and will make more money than you could. Is this the case?

In the majority of situations, this is true. Most people have lost their whole account within 2 month. Most then give up, or lose even more money in forex, or try to find a reputable managed forex account to invest their money in. Finding a honest and high performing foreign exchange manager can sometimes be difficult, but it well worth the search.

So what is so great about these so called managed forex accounts? Firstly, you get the ability to access the complex world of currency trading with a relatively small outlay. Whilst most hedge funds often require commitments of over a million dollars, you can set up a managed forex account with just a few thousand dollars.

Another of the key advantages of using a forex manager and a managed forex account is that you have total control over your investment. What does this mean exactly. The great selling point is that the fund manager, whom you may not know personally, never gets to receive your funds directly - they are sent from your account to the broker that you have agreed. This means that the manager will have no access to your money.

Additionally, not only does the forex money manager have no control over your funds, but the structure of a managed forex account means that you have complete control over access to your funds. This comes in a number of different ways. Firstly, you have the ability to withdraw part of, or all of your account balance, at any time, and free of any charges. This offers a flexibility which does not exist in other forms of investment, such as traditional asset classes like mutual funds or other investment funds.

These factors thus explain the increasing popularity of managed forex accounts amongst the retail investment community. Over the last couple of years, there have been countless cases of hedge funds defrauding their investors of millions of dollars. They thought that they were investing in a dependable fund, but it turns out that their wealth had been stolen by the money manager. Perhaps the biggest example of such a case was the Bernie Madoff case, who defrauded investors of other $5 billion.

A further comfort in terms of safety of funds for investors is that your funds will be held by a properly regulated forex broker. All regulated brokers need to deposit a capital amount with the government regulator, and to comply with strict regulations in order to be able to conduct forex broking business. In addition, most countries will offer some form of deposit protection to the investor, so that in the event of the broker going bankrupt, the investor's funds will be guaranteed by the government where the broker is based.
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