Choose a Trading System that fits your Risk Profile
Identify your acceptable level of risk that you are prepared and able to accept. What type of investor are you? Are you an adventurous or dynamic (high) risk investor, or are you a medium-risk investor? Or perhaps you are older and looking for a more a conservative, low risk trading fund?
Trading in the spot FX markets by nature demands a higher risk than traditional investments like stocks, but also offer the potential of outsized returns. When choosing your Managed account, you should consider what your risk profile is, and never invest more than you can afford to lose.
Your risk profile typically depends on a your age, financial goals and the duration you plan on holding your investment. If you are young and retirement is still decades away, you might be more aggressive Managed account like Dragon FX. Young and adventurous investors have the advantage of riding out the highs and lows of the market.
If you’re closer to retirement, you might want to look for something more conservative and prefer a more stable trading fund such as Smart FX. This Managed account will be manually traded with Institutional Smart Money trading strategies. Smart FX is coming out in May 2020.
If you have minimum $100,000 USD or your local currency equivalent to trade, you may want to consider algorithmic trading with Alpha FX.