Forex traders recruit means to get someone to join in the trading business.
But first, let us see the reasons. Reasons are:
1) Trading and forex affiliates promote brokers, systems, and signals. In each business, there are affiliates, promoters. Affiliate business is not a scam but sometimes promoters write and talk about trading business in an unrealistic manner. Sometimes they give over-optimistic results, offer some products and promise to the internet audience quick rich schemes. This is all wrong but this practice we can see in promoting business very often (health formula, weight loss products, etc.).
2) Forex brokers promote trading and trading products. They try to educate traders, to offer their products. Using live and demo accounts competitions they will try to interest them into trading. This is common practice and this is not unusual in the marketing industry.
3) Hiring the traders
Forex traders and companies can hire people to trade for them. More traders, better fund allocation, bigger profit. Let us theoretically track one trader who often buys GBPUSD and his portfolio 60% winning ratio, profit factor 1.5. Let us track another trader who sells GBPUSD with the same portfolio parameters. Fund manager who invests in these two portfolios will have better profit factor because drawdown will be smaller (profit from both sides but in the same time we have one buy and one sell trade and smaller drawdown).
I hope that this part, fx recruitment, is most interesting to you.
There are several reasons why you may be looking to hire a trader or to get. If you are a business owner with a trading operation, hedge fund, family-run business or any other business endeavor involving exchange on the market, hiring traders can help excel your business. This is a natural step when building any company or organization. Scaling and diversifying your business is extremely important for ultimate success.
Business owners with experience on the market understand just how difficult it is to find a reputable, skilled and consistent trader. The market is constantly updating and will immediately show if a trader’s deal was successful or not. It is rare for a trader to have a perfect track record. Traders are bound to have mistakes here and there. This is why it can be difficult to find the “perfect trader” to add to your company.
However, there are a few tips that can enhance your searching process and help you identify the key elements in a promising candidate. These main tips are the best indicators of a successful trader. This will help you eliminate the guesswork when recruiting a trader to your company.
Personality Tests
Personality tests are some of the most effective methods for determining a trader’s eligibility for your company. Psychometric and cognitive tests are especially effective for this. These tests asses a trader’s instincts and abilities. The main goal is to work with traders that understand how to identify a high-risk situation. The trader must have confidence and courage to make decisions and identify the reward associated with certain deals. When looking for a trader, there are no set personalities that work better than others. It ultimately comes down to their ability to perform. Some traders are more introverted while others are extroverted. The personality traits of each trader will differ.
The main goal when selecting a trader is discipline when it comes to risk vs. reward. This is the most important factor for moving forward with a trader. Managing risk is a crucial element that traders must be able to do. In some instances, it’s not so much about what the trader does, but rather what they don’t do. In other words, if a trader can abstain from making a poor decision on the market, he will be more successful.
The best traders tend to be evidence-based individuals. This means they operate based on facts and not emotions. As humans, everyone has their own opinions and biases. In the world of trading, these feelings must be checked at the door. In trading, traders must identify what is factual. They can not believe something simply because they want to believe it. Analyzing numbers, statistics and facts are the only way to build sustained success in this industry. The unknowns in trading can be very strong, therefore it is important to abstain from the action when you are unsure.
Markets are extremely competitive and traders are always planning their next move. If a trader sees a good opportunity, it is very likely there is another trader thinking the same exact thing. This is why trading based upon ideas is dangerous. For example, investing in Tesla stock because electric cars are popular would be a poor decision. What matters is not so much the idea, as it is the facts of the here and now.
Logic Tests
The next set of tests for finding the right trader are logic and numeric tests. All traders must be mathematically skilled in some regard. When traders are constantly dealing with prices, risk and rewards, mathematics inevitably play a large role. Mathematic and reasoning skills are very important. This is why it is important to give potential traders this type of test. If you are posting trading positions on a job board, the test can serve as a method to weed out weak candidates. These types of job boards are known to get large numbers of applicants. This will help you decipher who is truly qualified.
It would be difficult to go through thousands of applications from an online job posting. This is why a test will help you to understand which applications are worth investigating further.
Culture
Culture plays a role in almost every industry, including trading. Values and beliefs are very important elements of a trader. Even though traders should leave their ideas, beliefs, opinions, and biases at the door, very few are able to do that consistently. This is why finding out this information can be helpful as it allows you to anticipate what could happen if they were to let their emotions get the best of them. Business relationships that are bound by common values will enhance the company and help the partnership last through the highs and lows of business.
The culture of a company will attract others that are similar. The individuals that join a company will either add to the company’s beliefs or change them. Many organizations struggle with their process of recruiting. When company officials are hiring individuals, they tend to forget about the element of culture. Culture plays a role in everyone’s beliefs, opinions and basic instincts. Turning a blind eye to this fact would be foolish for a recruiter.
Training & Track Record
Training and track records are two very important aspects when selecting a trader. Training a trader may be necessary to bring their level of trading up to your standards. Training entry-level traders is a very difficult task for a smaller company or organization with fewer resources than a large corporation. Some training may be involved, however, the trader should be well-advanced. It is feasible to tweak their style and make minor changes.
Track records should be looked at as well prior to hiring. For example, if a trader has less than one year of experience, you may not be able to make concrete conclusions based upon their trading style. It is important to notice patterns of behaviors in traders and their strategies to determine long-term success for your company.
