Most of the traders think that trading in Forex is easy. They do not need time before they realize how hard it is to make money in Forex. Therefore, most traders go for Forex managed account. A managed account is a type of account where you give all of your money with your broker and open an account and your broker places and manages trades on your account. You are like the investor in this account. You have no control over your trades or whatsoever. You just give money and invest to open an account. The rest of the thing is left on your brokers. If they are good with experience, they can make a profit. They are also human and they also lose profit where this concept of managed account becomes questioned.
Figure: Trade with elite class broker Saxo
Are you really busy that you don’t get time to trade in Forex?
If you are really at that level of business, why take the bother to invest your money in Forex? You should have a very clear idea of the market. You need to know that you have to invest not only your money but also your precious time in Forex. If you think you are really busy and you do not have time for market analysis or market trade, the best choice for you is to not trade in Forex. If you are still interested in Forex, you can go for managed account. However, you will still suggest you learn the perfect art of trading from the professional Forex trader and start making money by your own. Once you learn the proper way of trading the financial instrument you will notice that there is no need for you to spend a huge amount of time in your technical analysis. But still, the ultimate choice is yours.
Brokers also lose
Brokers will not give you money if they lose in your managed account. This online trading account is not your broker’s account and the broker is simply managing trades on behalf of you. There is no way that you can charge your broker for blowing up our account in the market. It can happen to anybody but you give control of your account to somebody who has their own account to trade, except that you are not going to make your profit. It’s always better to lose money based on your own decision rather than other. Most importantly the broker will also charge a certain amount of fees for managing your trading account. So this doesn’t really make any sense to lose money even after paying them. But still, if you want to consider trading as your alternative source of income then it’s definitely a good choice for you.
Not all brokers are bad and many brokers offer really good service in managed account. If you find some good broker with a high rate of charge in managed account, talk with the other traders who have managed an account with this broker. If they are satisfied with this broker’s profit, you can think of opening a managed account. But this managed account should always be your second priority in Forex. Always go for trading by yourself in Forex.
If you decide to trade the Forex market with a managed trading account then it’s time for you to do some extensive research. Brokers like Saxo have a high initial deposit but their offered trading environment is top class. So if you think that manual trading system is the best option for you and you will have enough time to trade the market then go for such a high-class broker. On the contrary, if you look for managed trading account then investment a small amount of money and use your organic profit to reinvest in your managed trading account. But never think to lead your life based on the other people trading performance.
