Your Questions About Managed Forex Accounts

admin answers:

The Smart Money link Joe provided was very good.

The only managed Forex fund I’m aware of (there are surely more) is one run by GFT. The publish their monthly performance (http://www.gftforex.com/services/gftmanagedaccounts/history-wallwood.asp)
but you have to be careful because they charge a quarterly performance fee of up to 25%. The performance fee is based on any profit you show for the quarter. If they make $10,000 for you in the quarter, their fee is $2,500 – a bit steep.

As far as doing it your self in Forex, unless you are an extremely disciplined trader, have an appetite for reading everything you can about the economies of other countries, understand how the economy of one country affects that of another, can deal with large amounts of risks and enjoy watching the computer screen for hours, stay away from Forex.

I’ve been trading Forex for a couple years and have become marginally successful but frankly, I make more money in the stock market doing short term trading (a few days to a few weeks) using technical analysis (something I don’t advise unless you are willing to put in a lot of hours every week).

Whatever you do, stay far away from those highly promoted “systems” that promise to make you rich by buying when the lights are green or that generate income based on the carry (interest rate differentials in different countries).

admin answers:

I looked into having my account managed until I found a simple hedge system that seriously only takes about 15 minutes a week to do myself. It is so easy. I have found that when you are paying someone else to manage your account you are wasting money. Check out http://www.wiseforexinvestor.com and see if what they have to offer is worth your time. If you have any question about it feel free to give me a call.

Best Wishes,

Rex White
435-633-0101
503-922-1475

admin answers:

Daisy, you sound like a nice person, however this is not the right forum for you to ask such a question… You will attract every scam artist out their, they will impress you with their knowledge, system or promises, and you will wake up broke. The only people that make money on forex are the bank trading rooms for foreign currency conversions and trading. Split second decisions, millions of dollars at a time, information from around the globe, and still some of these brilliant people lose money for their bank. A managed account through a broker forget it, i am sorry.

admin answers:

I’ll be real honest with you. Managed accounts are okay but you can do much better if you spend the time studying the market yourself and learning the trading discipline.

Think of it this way, a managed accountant is not risking his own money, he’s risking yours.

You could spend 6 months trading demo accounts, reading technical analysis books, etc. And learn the techniques yourself and do much better than a managed account.

Conservatively with forex you could make 5-10% per month. Using a well developed software tool 20-30% is easily acheivable. Best of luck to you.

admin answers:

I’d stay away from the “automated” systems that some brokers are selling – they aren’t always as accurate as they say they are