Once upon a time, Forex trading required much manual work that would take up a lot of time. The trader would be on market watch for long hours to so that they can catch the perfect timing for buying and selling. At the same time, there are also lots of manual analyses that can be a big headache with the great volume of work to follow on. Thankfully, there is managed Forex, which refers to the trading of accounts by a professional trader called the money manager. This trading of accounts is known to be a great way to diversify your investment and subsequently, increasing overall returns. It is very useful to retail investors and Forex traders alike.
For investors who cannot be physically present all the time to keep tabs on the Forex market, making use of these accounts allows them to as there are Forex money managers to do this work for you. These money managers are experienced in their work and have the knowledge to deal with the trades of accounts on the behalf of investors. Meanwhile, compared to traditional investments, managed Forex accounts are much more beneficial in terms of equity markets and mutual funds. To start off with, investors will receive absolute returns whether there is a rise or decline in the equity market. And as compared to traditional equity/bond portfolio, investing in this type of account makes a strategy diversification that allows for increased overall returns that are not related to the stock market.
When liquid assets are traded, they are only done in a disciplined manner and have undergone risk-control. You also receive daily reports online of the market status. Apart from that, you can access to your account balance at any time of the day, any day of the week. In fact, you can access your funds when you want to.
The biggest advantage would be the fact that the funds that you have kept with the managed Forex account is not controlled by a Forex money manager, but is instead taken care of by the Forex broker that you have decided on. The Forex money manager has only the power to trade your account. Things like withdrawing funds are out of their jurisdiction, so you can have your faith in them. All in all, managed Forex is most suitable for people who are keen on engaging in Forex trading but do not have the time to actually participate in it.