MANAGED FOREX ACCOUNTS | HOW IT WORKS

Step 1 - Open a Forex trading account in your own name.

You will need to provide proof of ID & address plus sign a LPOA. Account approval normally takes 1-3 days.

Step 2 - Wire your money over to your trading account.

The minimum investment is $10,000 and all managed accounts are traded in USD.

Step 3 – Start trading.

You will be electronically connected to the trade team’s master account and trading will commence. This means every time a trade is taken by the trade team you receive the exact same duplicate trade in your personal account

 

LPOA stands for limited power of attorney. This instructs the brokerage to pay the monthly performance fee of 35% to the trading team on any new profit High Water Mark and it allows your account to be connected to the master account. The money traded always remains in your account. At the end of the month the broker will calculate the profit that is made by the trading agent and then debit your account with 35% of that amount. You will clearly see the performance fee withdrawal amount in your viewable trading terminal

A MAM stands for multi-account manager, sometimes called PAMM or MAP.

A High Water Mark, is a common approach to the calculation of incentive fees. It means that incentive fees are paid only on NET new rises in asset value. If a temporary decline occurs, it must be recouped before new incentive fees are paid. This ensures that investment managers receive a performance fee only when the account value exceeds its previous high.

Example - You start with $50,000 in an account with a performance fee of 35%, and during the month there is $5,000 gross profit. The performance fee deducted would be 35% of £5,000, which is $1,750, so your net profit would be $3,250 and your account would now have a "watermark" new balance of $53,250. If in the next month there was a loss of $1000, there would be no performance fee deducted, since there is no profit, and your new balance would be $52,250.

Your "watermark" is still $53,250. So there will be no performance fee deductions until you get past your current "watermark".

You can download some desktop software called MT4, which will allow you to log-on and view all live trades as they happen. It will also show you the current P&L and you will have the ability to run historical reports.

This will be a read only log-on allowing you to view all trades but not tamper with the ongoing trade team’s trades.

The minimum investment is $10,000 and all managed accounts are traded in USD

There is a 35% monthly performance fee. The policy is strictly no win, no fee! So we only do well when you do well. So there is an excellent incentive to try to make you as much money as possible while at the same time protecting your account at all times

 

FAQ’s