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Is Forex Trading Haram or Halal in Islam ?

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What does Islam say on online forex trading? Is Forex Trading Haram or Halal in Islam? The answer is: Yes, forex is halal and CFD  halal too.
Trading Forex is Halal because trading is a business where an entrepreneur risks his investment with the expectation of making money later. Forex trading is not gambling and there are no loans in this business (no repayment with interest) so this business does not violate Islamic religious laws.

But let us discuss this…

Make the trade

Halal or Haram for Forex Trading – Is forex trading legal in Islam

Halal or Haram, Muslims choosing to do Forex Trading are constantly thinking about their Religion and what part of the Quran they should follow. There are many opinions about this issue and in this article, the issues will be explained.
There are some Muslims who believe it is best for them to follow the words of the Prophet Mohammed :

Prophet Mohammed quote

If the types are different for then sell however you like, so long as it is hand to hand. Those who read these words will trade. However, there is another Islamic law that usury or any contract or business dealing that involves charging interest is strictly forbidden (Riba) and Forex trading has no interest calculations to be added or subtracted so this law does not affect the decisions made by Muslims.

Whenever online brokers tend to charge or pay the difference between the two sides of and currency pair whose position has been held overnight there is a fee that is not permissible and there are brokers “Islamic Shariah Forex Accounts” and they do not charge or pay standard interest.

LMFX PAMM

However, there are those who adhere strictly to Shariah Law and they say since the brokers are finding other ways to earn from the trade they will not be involved in Forex trading.

Example – What types of trades are not allowed in Islamic accounts?
What types of trades are not allowed in Islamic accounts?

In a Regular Spot forex trade where traders predict an increase in the value of currencies and there is just regular trading, this could be seen as; hand to hand and there are some Muslims who won’t have a problem with this method of Forex trading.
However, with Forex trading forward, there is an element of interest involved so this is strictly forbidden.
Islamic law clearly prohibits gambling, and this causes some persons to wonder if the level of speculation that goes along with Forex trading is permissible for Muslims. However, the exchange that happens between the dealer and the broker would be hand to hand and that is allowed.

Forex Trading Islamic Fatwa

Islam understands that persons need to earn, and every trade is accompanied by some level of risk, and Forex Trading is just like all the rest. When Muslims are faced with many opportunities to earn, they will look at the experiences of the persons who were involved in those opportunities in the past and do research before decisions are made.
There are some persons who say Forex trading is allowed when the correct type of analysis is used. When traders are able to predict when a currency will increase, and another will decrease and there is no speculation they are not behaving like Gamblers, so Forex Trading is a good thing for Muslims to be involved in.
However, traders who time the trade in order to get the best results can be seen as persons who are breaking the Islamic law as there might be some speculation being done by them. This is where there is a concern and some Muslims might prefer to stay away from Forex trading completely.

What does Islam say on online forex trading?

With Islamic trading, Forex Trades should take effect immediately and it is seen as a natural part of commerce that is allowed by Islamic law.

Muslims must trade with chart-based analysis or fundamental analysis this will make Forex trading permissible by Shariah law. The regular chart-based analysis can be seen as speculation and it is not allowed.
For the Muslim, there needs to be a lot of research done to determine which currency will increase or decrease in value, as there can be no speculation since gambling is totally prohibited according to Islamic law.
Critics say it is best for Muslims to avoid Forex trading because the line between speculation and knowing how to trade can be easily blurred. Even though there are forex brokers who understand the laws, and they are willing to trade on behalf of Muslims.

Muslims can look at the lists of top Islamic Brokers whenever they want to do Forex Trading.
It seems to be possible for us to go on looking at the issues that surround Forex trading for many days and find it impossible to decide what position a Muslim should take when the issue of Forex Trading arises, some critics might say Muslims should not be using Brokers to trade on their behalf because technically they are still trading and earning from gambling and it is wrong.
However, trading without speculation is possible and this makes it perfectly fine for Muslims who are willing to do research and stay within certain boundaries to do Forex trading. It can be looked at as hand to hand trade that is permissible by the Shariah Law. These Muslims would not pay Brokers to trade on their behalf, they would do their own research and stay away from everything that crosses the line, so they would not be doing anything that looks like gambling, there would be nothing like interest payments and they wouldn’t be breaking the Islamic laws.

What Islam Permits – forex halal or haram?

Recently it was reported that Muslims who have looked at all the issues that are connected to Forex trading have decided that using a broker is allowed. This makes it easy for Muslims to put aside the statements that the critics made and start doing Forex trading as much as they want to.
Even though there are so many complications surrounding this issue, it is clear that research was done and decisions were made.
The law that involves usury and gambling is still being contemplated and Muslims are still finding ways to do Forex Trading in their own way.

The guidelines are still being used as the laws are important and Muslims are always encouraged to abide by them. The Muslim Forex account is different as all the Islamic laws are taken considered and upheld.
The Muslim Forex Brokers are persons who are determined to uphold the Islamic laws, they do all they can to avoid usury, which is defined very widely, forex forwards (which involves interest payments) and gambling or speculation and this makes it easy for other Muslims to trust them and use their services without fear.

In the middle of all the complications, it is clear, that somehow solutions were found for the many issues that seemed to stand in the way of Muslim Forex Traders and they are now trading in the markets every day.
The question as to whether Forex Trading is permissible according to the laws of Islam has been answered even though currency exchange under certain conditions is still halal. The lines are still blurred because computers and high-tech transactions were not present when hand to hand was implemented originally but it is clear, that Muslims found ways to adapt to the modern world.
A number of forex brokers have become Islamic Forex Brokers and offer Islamic forex accounts that offer standard interest payments, so they can make profits and keep on trading.

The Critics Point of View – is forex haram in Islam?

Critics are still saying Islamic Forex trading makes this type of commerce problematic, as the lines between gambling and smart trading or speculating can be blurred easily, and avoiding forex forward can be a bit difficult to avoid at times. They say it seems that though Islamic Forex Trading is just a camouflage. They believe it is impossible for Muslims to uphold the Islamic laws and do Forex trading.

However, it is clear that Muslims are not paying much attention to the critics, as they know that each trader will be guided by the laws that they hold dear and that is the most important thing to consider, in the middle of this very complicated issue. It is hard for those who have never been living according to specific laws to understand how it is possible for others to keep the laws when all the odds are stacked against them.

Forex trading in Islam halal or haram – I think HALAL!

Is driving a car is halal? Yes, it is! But if you drive your car every day 200 km/h you can hurt yourself and people, you will gamble with your life and life of other people. So the decision is up to you. Is forex trading regulated business? Yes. Do banks and biggest institutions around the world trade forex? Yes. There is the biggest chance to do insider trading in the stock market than in the forex industry. In the forex industry, there are no loans or market manipulation.

The good thing in forex that you can risk 1% per your equity and 99% of all your money is in your pocket.
And one more fact is Surah Al Baqarah, verse 275: “Trade is Halal, interest is Haram”.

Forex halal

The question will always be there, but the truth about How the Islamic laws are being upheld in the Forex-Markets can only be answered by the Muslim Traders alone and critics can only speculate. They really can’t tell if the Islamic laws are being upheld or not, by Muslim traders. Eventually, they might see this as an issue they should simply stop talking about, as they have no way of knowing what goes on in the mind of others.

Persons are finding more creative ways to do Forex trading, when there is a complication because of Islamic laws, and where there are professional individuals who are determined to do forex trading and make profits more solutions are being found for the problems that other persons are seeing as barriers every day.

Keeping Forex Trading alive and profitable is more important than all the words the critics are using at this time and as long as Muslims are finding ways to trade and they are comfortable with their choices, there is no reason for anyone to criticize them.

What is Leveraged Buyout – LBO

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Leveraged Buyout Definition

What is an LBO
A leveraged buyout is a process when you borrow a significant amount of money in order to complete the acquisition of another company. Now, since the amount of loans taken for acquiring the company is pretty high, so to pay them off, the assets of the acquired company are put to use. They are often kept as collateral for the loans to the creditors. Sometimes, the acquiring company also uses its own assets to keep as collateral for the loans. Now, the main reason behind this buyout is to make sure that when a company is being acquired, the acquiring company is not committing a lot of capital.

The best book to learn about LBO is: Investment banking valuation leveraged buyouts and mergers and acquisitions:

LMFX PAMM

Historical aspects regarding Leveraged Buyout

The infamous history of leveraged buyouts suggests that they hadn’t been much success in the past. Most importantly, when the 1980s are kept into account, there were various much important buyouts that happened and led to the eventual bankruptcy of acquired companies. Mainly, this was because of the pretty high leverage ratio that amounted to almost 100%. The interest payments were also so large that the operating cash flows of the company just couldn’t make it to meet the exceedingly high amounts and thus, they eventually got bankrupted.
One of the largest LBOs on record was in 2006 when Kohlberg Kravis Roberts & Co. (KKR), Merrill Lynch, and Bain &Co. acquired the Hospital Corporation of America (HCA). The three companies had to pay a whopping amount of $33 billion in order to acquire HCA.

What are the reasons behind LBOs?

When a company is taking so much loan just to acquire another company, it raises questions and puts the acquiring company’s finances at great risk. So, one does wonder about the reasons behind such a buyout. Well, there are three important reasons why companies come to this point.

LMFX PAMM

1. The first reason is when the company wants to take over a public company and make it private
2. When someone is trying to sell a portion of his existing business for its spin-off.
3. The third reason might be the transfer of any private property or the case where a small change is to be made in the ownership of a specific business.
However, in all cases, there is one common requirement that the acquired entity must be a profitable and growing venture. So, spending all the large amounts and acquiring all the loans are worth it.

Break down of LBOs
Usually, there is a ratio of 10% equity to 90% debt in an LBO. Due to the excessive ratio, usually the bonds issued in this buyout are referred to as the junk bonds instead of the investment grade. Moreover, a lot of people are of the view that the tactic of LBOs is highly predatory and ruthless because the target company never actually sanctions it. Moreover, it is pretty much ironic that the assets responsible for a company’s success are actually being used against the same company by the predator company as collateral.

The process of LBO – How does a leveraged buyout take place?
The leveraged buyouts often contain many complexities and hence they take some time for completion. For instance, consider the example of the JAB holding company. It is a private firm that makes investments in healthcare companies, coffee, and luxury goods. In May 2016, the JAB holding company started the leveraged buyout of Krispy Kreme Doughnuts, Inc. The acquired company came at a whopping price of $1.5 billion, out of which there was a leveraged loan of $350 million along with a revolving credit facility of $150 million through the Barclays investment bank.
However, the Krispy Kreme Doughnut Inc. already had a debt on its balance sheet which was also needed to be sold. Barclays made it more attractive by adding an additional 0.5% interest rate to it. Thus, the LBO was made quite intricate and the deal was almost canceled. Nevertheless, on July 12, 2016, they went through with the deal and closed it.

Attractive aspects of LBO

An LBO generally represents a win-win situation for banks as well as financial sponsors, thus they are quite attractive. In the case of a financial sponsor, he can employ the leverage and thus enhance the rate of returns on his equity. The banks can also make it different from corporate lending and thus attain some significantly high margins by supporting the finances of LBOs. This is because the banks will be charging much higher interest. Moreover, the banks can obtain security or collateral too as proof or surety that they will get repaid.
In a leveraged buyout the managers of a firm, its employees, or other investors attempt to used borrowed funds to buy out the firm stockholders.
How much amount can the banks provide for an LBO
As mentioned, the LBO requires a lot of debt and this depends on how much amount the banks are actually willing to provide for supporting an LBO. The amount varies and is dependent on several factors that are mentioned as follows:
• Overall economic environment
• The quality of the company that is being acquired i.e. whether the operating cash flows of the company are stable, its history, the prospects of growth, and the hard assets, etc.
• The experience and history of the financial sponsor.
• How much equity is being offered by the financial sponsor.
Characteristics of leveraged buyouts
The leveraged buyouts greatly differ in many aspects. However, some characteristics are there that hold true in almost every LBO mentioned as follows:
• Strong management team – The chief executives will have worked with each other and by rolling over their shares in the LBO deal, they might have some vested interests.
• Relatively lesser existing debt – The private equity firm will add up more debt in the capital structure of the company which is to be repaid over time. Thus, this results in a lesser effective purchasing price. If the company already has acquired a huge debt balance, then the deal is very tough to be closed.
• Relatively lesser fixed costs – the fixed costs are to be repaid even if the revenues of private equity firms decline, thus the fixed costs pose risk for the private equity firms.
• Stability in cash flows – the acquired company in the LBO must have a stable operating cash flow.

What is a Good Leverage Ratio for Forex?

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Have you been wondering what is a good leverage ratio for forex? When it comes to the issue of leverage, it is realized that leverage is the capacity to implement the usage of a small item in the effort to launch control over something that is large. As applied to the matter of foreign exchange, which is referred to as forex, this denotes the fact that you can possess a tiny amount of money in your account that will be used to dominate control over a larger amount of money in the forex market. In finance and life, another word for leverage is an advantage.

Leverage definition – What is leverage in forex?

Financial leverage is a process in which an investor borrows money in order to invest in or purchase something, use of debt to buy assets.
In forex, leverage allows you to control much larger amounts in a trade, with a minimal deposit in your account. Using leverage traders can magnify the potential profits and also magnifies the potential losses.

Trading made simple

What is leverage in forex trading what is the minimum margin requirement? :
A 50:1 leverage ratio means that the minimum margin requirement for the trader is 1/50 = 2%.
A 100:1 leverage ratio means that the minimum margin requirement for the trader is 1/100 = 1%.

In forex community-recommended forex leverage is usually 1:100. What is a Good Leverage Ratio for Forex? Good leverage for forex trading is equal or above 1:100 such as 1:100, 1:200, 1:500, 1:1000. For professional traders, the bigger leverage is better. This statement is tricky because a lot of financial theorists present the opinion that lower leverage means bigger profitability. Statistics show that beginner traders have lower profitability when using high leverage.

I will give you an example:
Leverage is something like a free candy box. If you give a small kid a free candy box, he/she will eat right away all candies. If you give 1:1000 leverage to beginner trader he will risk too much right away, make huge drawdown, and lose all money. Professionally traders will never trade on margin but it is good when you have the opportunity, and they have bigger leverage.

Stock traders tend to refer to this as engaging in trading efforts on the margin. In the world of forex trading, it is noted that interest is not charged on the margin that is applied. Moreover, it really is of no significance what type of trader you tend to be or even how good or bad your credit is. If you possess an account and are offered margin by the broker, you are allowed to conduct trade on the margin.

LMFX PAMM

The evident benefit of applying the usage of leverage is that you are able to earn a large amount of money with no need for a large amount of your own capital. On the other hand, it is important to realize that this could also lead to you losing a large sum of money when you do apply the usage of leverage when conducting trades on the forex. This is dependent on how smartly you apply the usage of leverage and the level of conservativeness that you set for your risk management process.

You Possess a Higher Level of Control than You May Realize

The thing about leverage is that it allows the market that may seem boring to become more thrilling. However, when your money is out there at a risk, the trill may not always be a great thing. That is why leverage must be used wisely on forex.

Without the application of leverage, traders likely would not see much of a move of ten percent within their accounts in the period of a year. But a trader that applies the usage of leverage is able to experience a move of more than ten percent simply in the period of just a day.

However, it cannot be denied that the usual amounts of leverage are noted as being too steep. It is imperative, as a result, for you to realize that the abundance of volatility that is experienced during trading is linked more with the leverage pertaining to your trade than with the actual asset in consideration.

Amounts of Leverage

It is typical for leverage to be distributed via amounts that are fixed. Such amounts are noted as differing with various brokers. Each broker follows rules and regulations when it comes to distributing leverage. It is common for the amounts to be set at rates of 1:50, 1:100,1:500, 1:1000.
What is maximum leverage in forex trading? The maximum leverage in forex trading that some brokers offer is 1:1000.


The leverage with a rate of 1:50 is based on the fact that for each one dollar that you possess within your account, you are able to conduct a trade that has a value of up to an amount of fifty dollars. Take into consideration, for example, if you placed a deposit of five hundred dollars within your account, you would be allowed to conduct trades on the market that have a value of up to twenty-five thousand dollars.

The leverage with a rate of one hundred to one signifies the fact that for every dollar that you have placed within your account, you are able to conduct a trade that is noted as having a value of up to one hundred dollars. This is a normal amount of leverage that is available for those who possess a standard lot account. The normally required deposit of a minimum of two thousand dollars for the standard lot account would enable the trader to conduct trades up to a value of two hundred thousand dollars.

The leverage that is set at a rate of two hundred to one provides the possibility that for each dollar that is held in your account, you are able to conduct a trade that has a value of up to two hundred dollars. This is considered to be the normal rate of leverage that is provided when someone possesses a mini lot account. The normal deposit requirement of a minimum of three hundred dollars would mean that the trader has the potential to conduct trades with a value of up to sixty thousand dollars.

When it comes to the leverage that is set at a rate of four hundred to one, this means that for each one dollar that you possess within your account, you have the potential to conduct a trade that has a value of up to four hundred dollars. It is noted that there are some brokers that do allow you to access leverage with a rate of four hundred to one if you possess a mini lot account. However, it is important to be cautious if a broker allows you to access leverage with a rate of four hundred to one on an account that is small. If someone places a deposit of three hundred dollars within a forex account and then tries to proceed to conduct trade via the usage of leverage with a rate of four hundred to one could sustain a complete loss in only a few minutes.

The Truth Regarding Professional Traders in Relation to Leverage

It is typical for traders who are professional to conduct trades with leverages that have super low rates. You are better able to protect your money when you keep the leverage rate low in such cases that you make some unforeseen mistakes when trading in. This means that you will yield consistency in regard to your returns.

In general, most traders who are professional tend to apply the usage of leverages with rates such as ten to one or twenty to one. There is the possibility of conducting trades with such low leverage rates even if the broker tries to offer you higher leverage rates. You will need to place more money in your account and be careful to conduct as few mistakes as possible.

Good Leverage Ratio for Forex like 1:100 is just enough for the average trader to use full potential in the trading world.

What is Copy and Paste Forex Trading or Mirror trading?

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What is mirror trading?
Forex Trading Copy and Paste methods involve practice when some trader creates a trade at the same time in your trading platform trade will be executed. Using mirror trading platform basically you are copying the trades of more experienced traders.

See HF Copy platform (visit HF Copy website) video example:

Make the trade


Mirror trading platforms – signal providers list

1) Zulutrade is a Social Online Platform of Auto trading for the Forex market. Visit the Zulutrade website.
2) MQL5 is Metatrader website which offers signals to all people who use MEtatrader 4 and 5 platform. Visit MLQ5 website signal section.
3) Collective2 is a mirror trading social network where traders can pick strategies. Visit Collective2 signal providing platform
4) Hotforex Copy is a social network platform where traders can copy signals. Visit HF Copy

In order to improve the profit factor, various techniques are used in the forex market. But it is difficult to find the best tricks to increase profits in forex trading as millions of people are trying their luck in this field. Many interested traders are offered trading accounts with high leverage by many brokers in the forex market. To allow the traders to make attractive profits many brokers also provide them useful information about this market. Actually, to allow some of the traders to start making money at the initial stage of their career some platforms usually sell trading signals to their customers.

Trading made simple

In recent years, the method of using forex trading signals has become very popular among the investors as most of them do not want to waste time reading and analyzing charts. We are trying to break the misconceptions about the notorious techniques used by many investors in this write-up. It is a very important article for you if you are amongst the investors using the strategy of free-riders to make profits in the forex market. We will break these misconceptions in a gradual manner so that you may understand that in this world nothing is available for free. You should read this article patiently as you may understand the things slowly but surely and accept that the information provided in it is entirely different from the ideas you were following until now.

The forex market is a zero-sum game, “mathematical representation of a situation in which each participant’s gain or loss of utility is exactly balanced by the losses or gains of the utility of the other participants”.
While using this clever method, the thing that comes to your mind at first is to make an enormous amount of money. But smart traders can understand the facts within no time that the brokers with ill reputation have set tricks. If this method performs as well as it was publicized then they should also use it to improve their profits. There can be many excuses to answer such issues but none of them can be close to reality. This write-up would not have existed if to be rich has been as easy as it seems to be.


Reasons to lose trades with trading signals
The main reason why traders lose money using trading signals is that they do not know how to pick the right trading strategy, calculate risks, measure performance. Trading signals platforms very often do not offer important information about the portfolio and trading strategy (some platforms do not show absolute drawdown. Beginner traders do not understand how drawdown is important in comparison with how many pips some trading strategy made in the past.

Here is an example of a bad mirror trading platform performance measurement:
The trader opened BUY trade EURUSD at 1.3. After 14 days he closed the trade at 1.31.
After that trader created another BUY trade at 1.31 and closes at 1.305.
Mirror trading platform will show you drawdown 50 pips and profit 100 pips and set these 2 trades as profitable.

But, this is not true! You do not know one important fact.

During the 14 days in the first trade, the signal provider created 300 pips drawdown. Price went to 1.27 and then again go up to 1.31. This trading strategy was dangerous. The strategy provider does not like to cut losses. But you do not know that from stats because system showed only close trades, do not monitor equity.
Equity drawdown is important and not closed losing trades drawdown.

Though using Forex signals to make profits in forex trading seems good as the service providers will provide you signals after analyzing the forex market. According to service providers, you need not do anything, and money will start coming into your pocket just by receiving text alerts and emails. But that is not the right way to trade in the forex market. It is not as easy to make money in the forex market as displayed by the providers of forex signals. According to experts, the service of the forex signal is not as good as it has been promoted as they may not allow you to achieve your goal.

Most of the forex traders using trading signals lose their trades because they do not have self-confidence. These signals may not be suitable for your trading style and you may not be able to take responsibility for your failure as you have followed the signals provided by the service provider.

Today you can find some of the successful traders providing Forex trading copy and paste services of mt4 though they are followed by very few successful traders. As compared to the providers of signal services these traders are several thousand times better. When you follow mt4 services you are sure that your funds will be handled very carefully as there is a master account to which your trading account will be attached. Now to make huge profits you need not make goals for the long term. The forex trades will be copy-pasted to your trading account and the hard work will be done by the professional traders. However, if you consider forex trading as an optional source of income only then you should follow this technique. You may not be able to control the factors affecting your profits unless you are confident enough to trade on your own. It is like you are spending your own money on someone else. You can lose your money if he fails to perform as per your expectations. So, you should try to learn things properly in this regard.

Ensure your financial stability

A person cannot be made financially self-reliant on the basis of some other person in any way. It is impossible for someone to become a profitable and successful trader by depending on other people. The only way to be a successful trader is to work hard to copy the skills of others. Initially, you may find things difficult in the market but you can be successful one day if you do not quit. As you will move on things will start falling in the right places. At this time you should remember that you will have to deal with your financial problems instead of anyone else. Though things may look difficult at this time instead of feeling sorry, you should prepare yourself for all the circumstances.

Have faith in you

As time passes away people start believing that no one is their friend in this world. You can find a number of websites providing wonderful signals at very lucrative rates but you should not rely on them as their purpose is not focused on earning money. We do not compel you to believe in us. But you can believe in us by observing the results after using this formula in your active trading account. We are sure that most of the readers of this write-up will be surprised to read the information provided in it. You will know that signals are used as a lure to attract more traders if you will think smartly on this point. You can use forex trading copy and paste service if required, as it allows you to copy the trades directly from the account of professional traders. You can lose your money if the trade is lost by the professional trader easily.

In the next articles, we will learn how to pick the best portfolio (signal provider as well), what to look for.

How to Get Investors for Forex Trading?

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This day’s investors looking for forex traders. It is hard to find excellent forex traders and consistent profit portfolios.

But, How to Get Investors for Forex Trading and how to attract them?

Trading made simple

If you want to attract new deposits you need to know that every serious investor wants to see two things: excellent past performance and steady consistent live trading results. You can get the investor if you make proof that your past performance is as good as your live trading and if you make proof that funds will be safe.

Many traders want to find directly high deposit investors. It is not realistic. It is as same as somebody who writes one good article in his blog waits to get a million pages from Google organic traffic. More months and years, more capital will come. But the process is slow.

Here are steps on how to get investors:

Step 1: Create an online live trading account and offer to manage the funds.
Your system needs to go to the public right away. You can open:
PAMM account :

Trading made simple

The PAMM or Percentage Allocation Management Module is the trading platform that administrates simultaneously unlimited quantity of managed accounts where investors and trader use the same broker

On our website page you can learn more about PAMM how it works and to check the best pamm account forex broker.

This is as same as you have your hedge fund just you do not need to think about payments, tax, collecting money, communication, technology. Hotforex broker PAMM account, for example, will do everything for you and you can get over 1 million potential investors worldwide.

The next opportunity is to find a platform where investors looking for traders to manage their funds. For example, you can connect your live account with Darwinex and investors can invest in your portfolio. Darwinex tracks your past and lives a trading account at the same time.

Next opportunity is mirror trading account and you can try to sell signals:

You can open mirror trading account such as HFCopy Investment, Zulutrade or Collective2 .

This is if you want to share forex signals. If you like only to manage other people money than PAMM is much better.

Step 2: When you have a live trading account and excellent performance you need to set live trading account tracking software

This is an excellent way to promote your trading. Using Myfxbook or FXStat you can promote your system to all forex traders and potential investors for free.

Step 3: Create a Website where you will promote your portfolio and system to investors
when you have live trading results, past performance results, PAMM account – now it is time to open the door to potential direct investors. Directly investors can contact you personally and you can make an agreement with them how and where you will manage their accounts.

Step 4: The final step is to promote your trading portfolio

Finding the right investor takes persistence. There will be many investors that come along, however, they may not be right for you. Traders used to publish their specs and business on a separate online forum where investors could view their stats and reach out to them. These types of online forums slowly died out as they were becoming more and more fraudulent with spam. As a result, traders had to think of other ways to connect with investors and vice versa. The solution to this was social media. Social media plays a large role that allows investors and traders to connect for business opportunities. Platforms such as Youtube and trade blogs connect traders with the investors they need to succeed. This type of business opportunity greatly benefits both parties involved and allows them to reach a higher level of success together.

Some traders would disagree with the notion that a forex investor is necessary. Some traders do not want the hassle that is associated with borrowing someone else’s funds. Some traders are under the impression an investor will find them down the line and spark a deal. The idea of evolving financially, attracting investments, and producing income for those investors is a natural cycle. Beginner traders tend to look for funds from friends and family first. This can be a risky endeavor as the consequences are more significant when you have a personal relationship with the lender. Some traders are able to generate their own income by raising their own capital. Sometimes this is not enough and bigger investments are needed to sustain them.

So you can use Youtube or Facebook to create page and promote your website and your social trading accounts and PAMM accounts.

Types of Investors

There are two main types of investors for Forex traders. The first type of investor is someone who is looking to raise its capital by investing funds. These individuals have funds already saved and ready for investments. This method will generate more profit than bank despots. The next type of investor is someone who used to be a trader and has since switched their role in the market. They have a keen eye for analysis, risk management, and the general know-how of the market.

With an inexperienced investor who has no basic understanding of the Forex market, investment deals can be frustrating. Investors can become impatient and frustrated as a result of their lack of Forex knowledge. Investors with little understanding of the Forex market with interfering with your daily tasks and be more of a burden than an asset.

With an experienced investor who understands the ins and outs of the market, they are much more likely to be patient and supportive. Investors who have previous experience as a trader are more reliable and stable in their partnership.

Regardless of which type of investor you select, it is important to always approach the investor in the right way. Initial approach and first impressions are key to achieving success longterm. There are several strategies that can be used in order to sell yourself to the right investor.

In the final word, I will tell you about another opportunity. You can get investors as private corporations and prop companies. If you make contact with them they will ask you to keep a very low drawdown (less than 5%) and to follow the rules. In that case, you will get several times more money but and greater responsibility as well. Good luck!