How to choose a suitable broker - questions to vet them?

[olweiser]

Hi all,
There was a very good survey on this forum about the best brokerages. Naturally, opinions were split.

Is there a list of questions that anyone has put together to vet their chosen brokerage? That would be very useful ;-)

I've no idea how brokerages work in terms of commissions, whether they will work to a minimum return per month (%.)

My concerns with any brokerage service is their motivation to both make money for themselves without being reckless with my money - striking that balance is crucial.

Any guidance appreciated.

 

[Enivid]

It seems to me that you are looking for a money manager and not a broker. Are you looking for a company to have a passive investment in?

 

[olweiser]

I'm looking for a company to manage my trades completely.

 

[Enivid]

Then, you need a broker with managed account. Some of them offer this. Their ROI, risk-taking and commission differs a lot from company to company.

 

[olweiser]

Thanks,
do most of the top 20 brokerages offer this service do you know?

 

[Enivid]

What are the top 20 brokerages?

 

[olweiser]

was a not a poll done on here some time ago asking people to choose their favorite broker. Think it listed the top 20 only. I have no idea who decided the list.

 

[Enivid]

Some them offer managed accounts. If you are really interested in managed Forex accounts, you better visit http://www.barclayhedge.com/. They have a lot of detailed information on various currency funds.

 

[Fxpipper]

Not all brokers offer managed accounts, a few do. You may want to contact them individually, find out more about the options and deposit requirements and other conditions. You should be able to get the info through google, do post an update later on.

 

[olweiser]

Thanks, I think I will look for info on the definition of a managed account. I thought this was quite normal for those that don't want to trade themselves but want to trade on the forex.

I read somewhere recently, the term 'social trading' I might have the wrong term here. Where proven traders post there trades, others follow them to a T. Anyone know more about this?

 

[Fxpipper]

Ah you mean copy trading, well, most of the top brokers have started to offer copy trading. It's not just a case of one broker doing the copy route, every single broker is lining up with their own take on this..
And yes, social trading, making use of networks to share signals and copy trade is based on the same idea..just the "copy trading" concept, neatly dressed up in new clothes.
Just google "copy trading" and see what pops up..