Wednesday 20 February 2013

Forex managed accounts vs. social trading networks – Beware of Super Performance promises, Part 2


In our previous article we talked about the regulatory differences between forex portfolio management firms and the unregulated social trading networks but in this issue we shall cover how unregulated signal providers promise spectacular high returns, which at most times never materialize when the actual trading begins.
Social trading network is the process when an investor connects his account to the trading signals generated by either a trader or a computer application also known as Expert Advisors (EA), whereby when the signal provider issues a buy/sell signal on his demo/real account, the trading account of the investor mirrors or replicates the trade with an inconstant slippage.
High return
If you visit any of the social trading networks (STNs) the first obvious thing that you notice is the ......
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