Is Using A Forex Managed Account Advisable?

Forex managed accounts are a different way of getting involved in the forex market, they are mainly for individuals that have a minimum investment of $1000 and upwards and want to see steady returns on their money.

Sure, forex managed accounts are a great idea if you want to trade on the currency markets and you have little knowledge of the ins and outs. However, there is always a downside; forex managed accounts are going to cost you anything from 5% to 25% of your profit and there’s no guarantee that there will be profit.

Forex account managers are only human after all and are only as good as any other experienced trader or the automated software that they use. That’s right? They do use automated software just like any other trader out there.

One of the things you need to keep in mind is that the forex account manager is not going to share your losses. You’re on your own in that respect and should be well aware of the trader’s account history before you get involved.

These kinds of accounts do have their benefits; if you have an expendable income and are one of the busy people in the world that do not have time to sit in front of your pc all day watching charts then this type of account might be for you.

Spread betting is becoming increasingly popular, not just for currency trading but for all sorts of stocks, commodities and indices. More and more people are trading from home independently and generating a full time income from the process.

The thing is not many of these people seek out the appropriate training that is needed to invest on these volatile markets and end up losing long term. Forex trading is comparable to chess; it does not take long to learn but it does take a very long time to perfect. Learning the skill sets necessary to trade on the forex market is important to long term success.

There are several ways in which one can learn foreign exchange, from self- taught through blogs, forums and websites to employing a professional trader to educate you the ins and outs. A professional can be expensive and that’s why we are starting to see forex clubs showing up all over the place. A forex club has the benefit of sharing the experience and cost of a professional trader amongst its members.

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