With the development of Forex technology in the over-the-counter market, more and more companies are emerging that are moving away from the usual model of providing classic trading services and relying on unique services. PAMM accounts, trust management and the formation of investment portfolios, copying transactions (social trading Forex) – the best of these services we consider below.
Forex Social Trading and Portfolio Investment
The most well-known social trading platforms are ZuluTrade and MyFxBook (for more details, click here). ZuluTrade is a platform that combines a network of brokers and their traders with the ability to copy strategies. MyFxBook is a resource for analyzing strategies of other traders with the possibility of social trading. The brokers themselves are not far behind the sites:
- eToro. Broker positioning itself as an innovative technological platform for social trading Forex. The project has invested more than 27 million dollars. USA Sberbank and Chinese Ping An, a partnership with Sberbank (the bank recommends eToro on its website, providing access to trading). The uniqueness of the offer eToro – toolkit. In the network of 5 million traders, an investor can invest money both in a trader and in a balanced investment portfolio (the CopyFunds service is available with a deposit of $ 5,000 USD). To find a trader (copying trades automatically), People Discovery technology is offered with an advanced filter and Top Traders ’Insights, an indicator that determines traders’ mood (the most popular assets), is formed by the preferences of 1000 most successful traders.
- IceFx. A unique broker, actually launched in the fall of 2016. The company is fully open to customers. Its peculiarity is a strict risk management system, which controls traders and is open for analysis to investors. The emphasis is on portfolio investment, but each portfolio is strictly checked by broker analysts.
- LiteForex. The universal broker who has allocated social trade Forex in a separate direction. The broker’s offer feature is that a trader gets% of the investor’s profit and is therefore interested in successful trading.
- AMarkets. A classic broker who recently offered an interesting product to traders – RoboX. The product is an automatic platform that allows you to select broker’s investment portfolios according to the parameters set by the investor.
Summary. Social trading Forex and investing in portfolios has several advantages: saving time, money remains at the disposal of the investor, almost no need to delve into the analysis. Features of social trading:
- trader’s strategy should not contain martingale and averaging elements, account lifetime is not less than a year;
- the broker, the platform of the trader and the investor must match. The difference in the supplier of quotes and technological capabilities of brokers will lead to a mismatch of entry points, slippage;
- investment portfolios may turn out to be a trap, and traders – frontman brokers.
Whichever option you choose (social trading Forex, manual trading) is always profitable with FxCash! Earn in Forex and get a partial return of the spread within a week!