I am totally new to FX trading and I'm thinking of trying a managed account with fx.com. Their min.deposit is $5000 and they take 20% of net gains each month. Has anyone tried a managed account with this firm or done business at all with them? How about a managed account with any other broker?Is this 20% fee each month excessive compaired to other managed accounts? How can I assure myself that this broker is reputable? Thank you very much for any assistance.
The broker Co. is called fx trading .com not fx.com. They told me on the phone that 5-6% was an average monthly return on their managed accounts. They also said their clearing firm( Worldwide Clearing LLC.)was registered with the National Futures ASS. I called WW clearing LLC and they said yes they"ve been dealing with fxtrading.com for three years and have had no complaints about them. Thanks for your response.
It depends. If the managed account receives the revenue from the FCM taking the other side of traders trades, then yes, the returns should be 1000%. J/K. It is no different than putting your money in any managed investment vehicle, disregarding the fact that forex has pretty much no regulation. Don't bet it if you can't afford to lose it.