If you are a beginner and do not have a very good idea about forex, joining the markets can be challenging. So, it is a good idea to consult an expert before deciding on a forex account. By doing this, you will learn to see the difference between a self-traded account and a managed forex account.
No guessworks
First, with a managed forex account, there is no need to make any guesses about any decision you make in the markets. It is not rare when traders experience huge losses in the forex market because they cannot predict the price movements. However, when your account is managed by an expert professional, it leaves you with more than enough time to learn how to read the markets better. Moreover, you can also take a break from just concentrating on trading and pay attention to other important things in life.
Performance and management fees
On another note, you have to consider performance fees and management fees. When you are trading on a managed forex account, you depend on someone else to do the trading work for you. So, it is clear that the professional needs to be paid for performance and management. This is mainly because they understand and can provide corporate FX risk management solutions to the utmost of their abilities. Many individuals go for a self-traded account due to this reason. However, trading on your own when you do not have enough knowledge, experience, and skills; can make you lose even more money. While you try to save a small fee, you may end up losing a lot more. So, consider very carefully if you really need a professional to assist you or not.
No stress in emotions
Most people face a challenge when they enter the forex market because they are affected by emotions easily whenever a trade generates profit or incurs a loss. It can invoke two emotions; either greed or fear. The biggest mistake beginners make is to make trading decisions driven by these emotions. However, professional managers are by no means like average traders. They have control over their emotions, and they know that they have to stick to logic if they want to win a trade. Thus, if you think that you cannot handle emotional pressure, go for a manager.
Expertise and experience
Keep in mind that you do not only pay for the time and effort of a professional when you make them manage your account, but you also pay for their experience and expertise in the financial markets. They expand their own trading businesses by guiding others who need help. To put it simply, they help other people succeed in the forex market through their own success.
Disciplined process
Experts know when it is the best time to enter a trade and when to exit it. They are well aware of the fact that opening filler trades means nothing, and it is way better to stay out of the market for a week instead. Unlike an average trader, professionals strictly follow disciplined guidelines to obtain maximum results for their clients.
The best-managed forex accounts
If you are looking for the best-managed forex accounts, then you may go for one of these:
ROFX
- 100% confidentiality
- The safety of funds
- Automated robot-accounts
- Based on neural network
CMC Markets
- Best market analysis
- Advanced trading platform
- Commission-free trading
- Advanced trading platform
FXTM
- ECN and standard accounts
- Compatible with MT4 and MT5
- Three top-tier regulators
- News analysis and educational offers
PFD
- The presence of financial regulators
- Beneficial corporation and reduced risks
- The ability to choose the type of managed account
FP Markets
- More than 10,000 tradable assets
- 45 currency pairs
- Three trading platforms
- Free demo accounts
Conclusion
If you plan on getting a managed forex account, look for a manager who has many years of experience in the field already. The more experience they have, the more skills they would have in overcoming different challenges in the markets. Make your decisions weighing both sides of self-trading and trading with managed accounts.
Featured Photo by Marga Santoso on Unsplash
