15 to 1 Ratio?

I have heard there are 15 live account FX traders for every 1 live account Futures trader worldwide. I was told this from 2 different large trading marketing firms. Does that ratio seem right? They did not have any data yet on crypto traders.

 

I seriously would've thought about 1|10,000, not 15|1. That sounds very whacked.

After trading-for-a-living for a dozen years, I have yet to meet a profitable forex trader in the flesh. I know dozens of futures/equities/options traders.

 

I have no idea about the numbers but i would not be surprise if the difference was larger.

Forex is much easier accessible for new traders with very little money to put in.
There are also a lot of so called money managers with PAMM or MAM systems which tricks naive people into investing in what most likely will be a losing strategy at the end.

 

Right - getting into FX is much easier.

BTW, some great PAMM managers at Darwinex where they utilize a very sophisticated ongoing risk assessment software to completely analyze all aspects of the PAMM managers trades. I have never seen anything like that for CTA's or CPO funds.

 

Most of the profitable traders I know are FX side - I know 3 profitable Futures traders and that's in the past 10 years.

 

I agree - the 15:1 ratio seemed very low to me. I was thinking maybe 500 to 1.

 

Even at 15:1 it makes sense to me why AMP added the MT5 platform. Anyone can take that platform and connect to a range of offshore FX brokers while still trading Futures on the same platform with AMP.

Just a numbers game - marketing a service to 1 trader versus marketing a service that 15 traders can use.

 

Forex is the turf of institutional trading. The small retail guy is just prey for the "brokers".

 

That is the case in most all trading markets - that is not an FX only story.

 

There is a much larger retail presence in futures than forex, the great majority of forex volume is institutional positioning and hedging.