Forex trading account that is managed by a professional trader or agency is usually termed as forex managed account. It is also sometimes referred to as managed forex account or funds management. Under forex managed account, usually two parties are involved.
- Investor
- Funds Manager
Investor is basically the account holder who invests money but does not engage in trading for, may be lack of expertise or time.
To get a forex trading account managed by professional trader, the investor must sign a Limited Power of Attorney contract, also known as LPOA. The LPOA is usually provided by the managed forex account provider.
Steps to Join a Forex Managed Account
Typically following steps are required while joining a forex managed account;
- Choose a Forex Managed Account provider.
- Open a forex trading account with one of brokers suggested by the forex managed account company.
- Make a deposit.
- Get your forex trading account verified by uploading documents for identity and address proof.
- Share Mt4 login details with Forex Managed Account provider.
- Enjoy profits every month and pay certain percentage of profit share to the managed account company.
Benefits of a Forex Managed Account
Some key benefits of using a forex managed account are listed below;
- Earning profits without having any forex trading experience
- No need to invest your valuable time in front of screen
- Diversify your investment portfolio
- Peace of mind
- Learn new trading strategies