to Trade Yourself or Copy Others?
is one of the most exciting, profitable and rewarding activities in existence.
The most successful traders in the world, like George Soros, Paul Tudor-Jones
and Jesse Livermore, have made tens of billions of dollars in profits
over their careers.
greatest thing about trading is that you can be successful no matter what
your education, background or economic
situation is. If your trading strategy is effective, you will make money –
how to trade stocks, currencies or any other financial instrument, is however a
complex and long process. You have to:
• Study trading literature, books, newsletters etc.
• Learn stock, forex and general financial terminology
• Keep continuously updated on global economic, financial and political
• Develop a trading system based on all the things you have studied
• Test your trading strategy first by “paper trading”, then with real
money, risking potential losses
this will cost you large amounts of time, work and money. But the hard
reality is that you are still very likely to fail. Study after study has
shown that between 80% and 95% of all traders lose money.123 For most people, and
probably for you too, this does not sounds like an especially attractive deal.
other hand, you can learn how to trade in a quicker, easier and more profitable
way – Social Trading.
How to Trade With Social Trading
Trading opens the door to trading success without the large time investment,
financial risk and high chance of failure of do-it-yourself traders. Social
Trading networks are basically like social networks (Facebook, MySpace), only
that trading activity and results are shared instead of personal information.
With Social Trading, you can:
• Find traders with successful track records that suit your investment
style, philosophy and timeframe
• Copy their trades into your account, replicating their strategies and
• Trade your own strategy and have others copy your trades
• Discuss with other users all trading, market and finance-related
issues in real-time
advantages of Social Trading are many:
• You make money by following successful traders
• You make money if you other traders copy your trades, receiving as
compensation part of their brokerage fees
• You can see other people’s trading results, risk profiles and
portfolios – all updated in real-time
• You learn trading from the cumulative knowledge and experience of
millions of people -all in one place
Social Trading you instantly see what works and does not work, through the
profiles of other users. While DIY investors have to learn from their own
(often expensive) mistakes, with Social Trading you can learn from other
people’s – for free. And even if you have no experience, Social Trading
platforms are easy and intuitive to use, which means you can start trading
immediately and confidently. In other words, you get all the benefits of
trading – without the disadvantages.
to Trade By Copying Profitable Traders
premise is simple. Successful traders:
Make a lot of
Are very hard
means that only a few especially gifted individuals will be able to make
consistent profits trading. If you had the chance to trade like them, would
Trading platforms like EToro and ZuluTrade allow you to copy the most profitable traders and replicate their
trades in real-time for your own account. This is the most time-efficient,
simple and effective way of making money from the world’s top trading talent.
In addition, it is a fully transparent process. You can see the past
performance, profile and updated portfolio of each trader, and decide which one
best suits your risk-reward profile, personality and timeframe.
are successful trader yourself, you can benefit even further. There are
potentially hundreds of thousands of people who would be happy to copy your
trades and make money from them. The more successful you are at trading, the
more people will follow you. This will generate more trades and more brokerage
fees, a part of which will be paid to you as fees from the brokerage partners
of your Social Trading network.
millions of trading members, the strategies, instruments and risk profiles
available with Social Trading are virtually endless. That means you will be
able to fully diversify your portfolio and achieve the highest risk-adjusted
Social Trading Platforms to learn To Trade
this point, you are seriously considering Social Trading to learn how to trade
the markets. You now have to choose the best platforms to do this:
Etoro – Etoro is the world’s N.1 Social Trading network, with over 6 million
members from 170 countries. It has a variety of unique features:
CopyTrader™ – Which allows users to automatically duplicate another trader’s
portfolio and investment decisions. The success rate has reached 80% over 124
CopyFunds™ – CopyFunds™ are investment vehicles that group together a portfolio
of financial assets. There are 2 types of CopyFunds: Top Trader CopyFunds which
comprise the best performing and most sustainable traders on eToro, and Market
CopyFunds, that group together CFD stocks, commodities or ETFs under one chosen
market strategy. CopyFunds™ help investors minimise risk and maximise profits
by taking copy trading to the next level. It’s like having 1000s of the world’s
best traders – all working for you.
ZuluTrade – This platform has more than 100,000 traders operating from 190 countries. Users
benefit from a free trading demo which you can
use before opening a real-money account. Although it started as a forex-only
trading network, ZuluTrade now also offers binary options on currencies. These
allow you to profit from the direction of forex movements, irrespective of
their magnitude. Among the other features:
Automator™ – This is a personal trading assistant that
will notify you when certain events happen or execute any account action (Take
Profit, Stop Loss etc.) based on your automated rules.
– This is a safety net that monitors your
account and automatically protects it by securing profits and limiting losses.
ZuluTrade – An easy-to-use mobile app to monitor your
account via iPhone and Android, in full flexibility.