Hello : I'm a trader for since years . I'm from spain (sorry with my bad english ...) , and actually I'm with a project of a Hedge Fund Forex . Before to give my last step .. I want to Know , How can I trade FX and insured all fund deposited in FX Brokers !!!! , and have my mind in peace with me and with my investors. This is a difficult question , because the risk of a bankrupt , insolvence , dishonet acts ... are in some Brokers , that we cann't discover when they go out , and closed doors ... Refco was a very good Broker .... and what happened ...?. What can we do to insured all fund from investor that I deposit in FX Brokers . I want that i havent any risk from NON-TRading practices (bankrupt , insolvence , dishonest... etc). Regard : Ivan Pd : Fidelity Bond 14 can cover all risk from a bankruptcy Broker Forex , the investor can recover 100% money deposited in this Brokers.?
Hi zhydenHF, Check out Questrade from Toronto, Canada. I just signed on to their QuestradeFX Pro service last month. So far so good. All accounts are also insured by CIPF up to $1mil. http://www.questradefx.com/join/inst_money_managers.html http://www.questrade.com/disclaimers/ida_cipf.html Talk to Erik if you have any questions. He's very helpful. Cheers!
Thanks for your help . The second answer .... Do you Know a Broker Forex with SIPF safety funds and .... a platform similar HotspotFX , MBTRading , EBS , Currenex Regard : Ivan
I'm sorry I dont. From what I've seen, foreign brokers don't offer anywhere near the kind of account protection you can get in Canada, especially for Forex accounts. Why are you bothering to check out these US names? If you're a real hedge fund, you should easily qualify for Questrade's Pro package. So long as you're trading $50 mio a month notional, you get to trade with their liquidity providers essentially. I get 1-2 pip EUR, no commission + CIPF insurance. You can't beat that. I'm happy for what it's worth. Good luck in your search!
No . I speak with Questrade , and no problem and I from spain , i tell you the same , if I'm from spain i cann't be assured .. , but Yes i can assured by CIPF . Actually Hedge-Fund is in start-up process and only with 500.000 $ asset . I trade with 5:1 leverage is near 2,5 million $ in positions and a turn is 5.000.000 $ / month . (2,5 by side open + closed) Because i usually trade for a long term with statical arbitrage. Regards.
You do stat arb and only put on 1 trade a month? Interesting. On which currencies and what kind of risk / return profile do you generate, if you don't mind telling?
Eur/usd & Gbp/usd eur/usd & usd/chf . And all pairs that we can have a good correlation . I assumed 1 trade / month , it's aproximation ... for example if you see a comparative of relative price eur/usd & gbp/usd you can see a divergence near 3 % ... and a convergence the last days .... If i assume 5:1 , only with 1 % convergence is a 5 % profitt in a few days ... The risk .... it's depent os size of portfolio , but if you see a temporal series the last years is a divergence near 6 % ... if some days ago is 3 % ... risk is other 3% x leverage (5:1) is 15% . Risk/return = 15%/15% = 1. Only we can do this with a big size accounts , more size account , min leverage 4:1 3:1 2:1 and ... min return But this post if for assured in funds , not to discuss trading