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Video key moments:
00:00 – Start
00:11 – How to Invest Money
00:23 – Self-trading account
00:38 – Managed accounts
00:53 – PAMM account
01:27 – Copy Trading
01:47 – Automated trading
Today we will consider HOW TO INVEST MONEY: Top 5 Forex Investment Options!
There are several different trading options available for FOREX:
1) SELF-TRADING ACCOUNT
This is usually run by traders who have the time and desire to manage their trades on their own.
A trader has the potential of succeeding as long as they take sensible risks, manage their account well, and are strategic in their approach.
2) MANAGED ACCOUNT
This is an investment option where a trader hires a professional to seek signals and trade currencies on their behalf.
This is a good plan for people who want to get in on the market but have no experience or no time to monitor the account.
3) PAMM ACCOUNT
It’s essentially a system where different investors come together and pool their funds as capital for trading.
The key players in this setup include the Forex broker, the money managers (traders), and the investors. The arrangement is overseen by the brokerage firm to maintain a secure platform for the trading activities.
At the end of the deal, if all goes well, the investors get their profit and capital while the trader gets the percentage that was agreed upon initially. This is advantageous for people who have little capital but would like to invest a larger amount.
4) COPY TRADING
It’s a system where a trader can directly copy the positions taken by another trader/manager who is a more experienced trader.
All you need to do is select a trader you’d like to copy, find a copy trading platform, and invest your desired amount of capital. The platform then automatically replicates the expert’s positions in your account.
5) AUTOMATED TRADING
This is a method of trading in Forex that uses a computer program to make the necessary calculations. The system is then able to automatically trade foreign currencies based on the algorithm.
This is an excellent way of trading because it eliminates biased or emotional trading.
However, it’s not a perfect system.
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