Forex Investments And How to Spot A Managed Forex Accounts Scam
I would like to get involved in trading the forex markets. I see the exchange rates on the news and in the newspaper and find it fascinating that I could be trading currency pairs, and not necessarily involving the pound sterling. I like to keep ahead of current affairs myself and often it is bad news… I think to myself “their currency is going to drop like a stone, if only I was in on that”. Not in a bad way. It’s like Brexit isn’t it? I thought “well, I am too late for that one” but actually the pound is up and down like a yo-yo. Well, I take that back… more like… down, down, down, up a bit, down!
I wouldn’t have the first clue how to trade these currencies against each other. I don’t even know how to bet on a horse in a betting shop, and that is kind of how it feels… a bit like gambling! So, I have been looking into firstly, learning how to do it myself. Which I feel I would find very interesting, stimulating even. I can see though that it is very involved, learning how to use a trading platform and read charts and seriously try to make head or tail of them. Fine, but it might take a while!
So my second avenue of investigation is to pay someone to do it for me. Surely if that is what these traders do for a living, they are going to have the training and education, knowledge and experience to have even got in the door of these companies.
So how do I pick a reputable forex broker, trader or company? There seems to be a heck of lot of options once I started looking. I didn’t even consider that there could be scams out there til that came up in the searches too. Seriously, they do seem to all say the same thing at first glance.
The first thing I started looking for was, who are they? Are they based in the UK? Do they have contact details and a registered address in the UK? If it wasn’t clear on the contact us page, I clicked on every page, and some I failed to find any information about who they were and where they were based. My feeling on this is, ”do I really want to apply to join before I even know who they are?” and “I have no clear idea where my money is going, could this then be a scam?”
My next search was to find if the forex broker I am looking at is regulated? Do they have FCA regulation with the Financial Conduct Authority, and have to trade under regulated guidelines?
Is there a number to call for customer service so I can speak to a real person, or an online chat option? I want to know that I can contact the customer service department if I have a problem.
Is there a clear and safe way to deposit my funds into a bank account? Is the only way I can deposit by paypal? Seriously? Will my money stay in my name? Can I have access to it? Are they trading all the available currency pairs, and can I see or access it as it is happening? What are the fees? Are they charging fees win, lose or draw? Has the company said I can apply to see their trading results, and a history of their past trades?
After going through these websites with a fine tooth comb, I wanted to see their customer reviews. I wanted to read the reviews to see what other customers had to say about their experience with the company as a whole, the forex brokers, the trades and traders, and how their funds were going and how accessible my money was once it was in a trading account? Do they have access to the latest trading technologies? For me, reading these reviews gave me an immediate sense of whether or not the company was legitimate. Tip: if you can’t see them, contact the company and ask for access to their customer reviews. And well, no reviews at all… say no more!