subject: Why Investing In A Managed Forex Account Is Really A Safe Method To Access The Currency Markets [print this page] A key aspect of investing in a managed forex account is that it can supply many different advantages that a lot more conventional investments in mutual funds can not supply. The initial of these is the nature of how your funds are held, and are protected. With a standard mutual fund, your funds are held by the investment firm. Once you've got invested, you have no control over your funds - all you will obtain is really a monthly statement showing your account balance.
On the other hand, with a managed forex account, you've got complete control over your funds. Your investment is held by a regulated forex broker, who isn't permitted to give access to your funds to the professional fund manager. Instead, only you might have access to your funds. You are able to look on-line to get an up to the minute balance of your account. This is specially helpful, as it eliminates the possibility of fraud on behalf of the currency trader who is looking after your managed forex account - because the account statement is produced by the forex broker, this is independent confirmation that the account details are true.
In addition, another key benefit of a managed forex account is that you can withdraw all or component of your funds at any time you like. This is for the reason that you maintain a direct relationship with the forex broker, so that you'll be able to request a full or partial withdrawal at any time. This greatly reduces the possibility of fraud, as, for example within the Madoff case, where investors had no access to their capital, only the words of one man that their investment was secure, which turned out to be entirely untrue.
Thus, to conclude, it can be seen that there are many distinct benefits of having a managed forex account, as opposed to a typical mutual fund. On the other hand, as with all investments, you'll want to do your due diligence, to guarantee that the fund manager that you choose has the needed experience and expertise. You will discover a lot of badly performing managed accounts, as a result of poor performance by the fund manager. So ensure that you do your due diligence before investing any dollars in a managed forex account.
