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Why a Managed Account? |
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There are two commonly known investment vehicles: funds, such as a mutual fund, and managed accounts. Most investors are familiar with the former, but few know about how much they’re giving-up by not working through a managed account. |
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Generally speaking, funds allow investors to buy shares or an interest in a financial institution, making them shareholders. The institution (i.e., insurance companies, investment dealers, mutual and pension funds, chartered banks, etc.) combines investor capital to create a larger asset base. As such, shareholders are the indirect owners of the fund’s underlying investments but have no control over investment decisions and receive very limited transparency. |
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Managed accounts offer some significant benefits. As an example, with a managed account investors directly own all investments held in the account. Direct ownership provides complete account transparency. International Currency Opportunities managed accounts allow investors to monitor account activity in real-time. |
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Managed accounts provide the services of a professional manager who can adjust an investor’s portfolio as needed, subject to one’s requirements and restrictions. As such, we believe managed accounts are ideal for trading foreign currencies.
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Why? |
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Because the foreign currency market operates 24-hours a day, 5.5-days per week. As such, even the most astute investor would have a hard time continually tracking this market to identify trading opportunities or act to reduce risk. A professional manager, however, has the experience and the means—including proprietary trading models, algorithms, and staff—to take advantage of this highly liquid, round-the-clock trading market. |
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For investors who typically trade on their own, a third-party managed account offers diversification and removes the pressure of making all trading and investment decisions alone. Additionally, because it is virtually impossible for the independent trader to participate in the market at all times, a managed account team helps ensure opportunities are capitalized on while he or she takes time off.
National Futures Association (NFA) required disclosure
statement: Before deciding to participate in foreign
exchange trading, carefully consider your investment
objectives, level of experience and risk appetite. Do not
invest money you cannot afford to lose. Past performance
is not indicative of future results. |
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