The crisis of Forex industry, which broke out at the end of 2014 and continues till now, has wiped out many giants of retail trade at Forex ("Forex-trend", IRON FX), as well as the whole number of small companies (RVD Markets, Forex-Market, Univell Broker). Famous foreign brokers also stop their activity on a massive scale; among them once popular: CitiFX Pro, 4XP, DivenFX, Lionstone, and even "Alpari" closes some of its representative offices because of its bankruptcy in the Great Britain.
Why do “Classical Brokers” Quit, and What is the Way Out for Forex Traders?
According to the head of a large international financial corporation EUTA Capital, the head of popular service Pro-rebate Evgeny Olkhovski, there are several reasons of such “large-scale outcome” of brokers:
– pyramidic type of work of the whole range of brokers, when money of new clients was used as payment of gained income to the old ones;
– crisis in Russia and CIS with serious devaluation of ruble, hryvnia, tenge, etc. to dollar in 2-3 times;
– sad occurrence at the beginning of 2015 with collapse of Euro against Swiss franc, when this January Swiss currencies has risen y 2 thousand points for 15 minutes, having turned bankrupt and zeroed out accounts of both traders and Forex brokers;
– unexpected news about draft regulation of the Central Bank of RF, according to which 100% compensation to be provided to clients of Forex brokers that have turned bankrupt by means of SRO compensation funds, has also become a significant factor for quitting Russian market for many brokers.
All this has eventually lead to erosion of traders’ and investors’ credibility to “classical Forex brokers” and worsening of Forex industry image in general, especially to companies that work by offshore jurisdiction with unclear schemes of money movement, thus resorting to doubtful electronic payment systems. Taught by longstanding bitter experience of work with such brokers, traders and investors have now become suspicion even to those of them, whom they have worked at the market for many years. For today risk of bankruptcy is very high even for “long-livers” with good and spotless reputation.
Apparently, the market has come to the point when it needs Forex services from a company, which will provide its clients with fundamentally new high-quality guarantees and services. Not simply a competitive broker, but the one with a safety factor, having sufficient capital for dynamic and stable development, and, consequently, providing traders and investors with best opportunities for effective work and investment at Forex both in short-term and long-term perspective.
Difference in “new quality level” is like difference between “classical piston-type planes” and jet-powered, smartphones and “classical mobile phones”, laptops and computers. No, “classics” will not disappear anywhere, it will simply lose the lion’s share of the market, giving place to absolutely new quality and level of services.
Broker of New Generation – What is it and How Can it Interest Forex Traders?
“There has already appeared a worthy response to such need of market and time,” believe the experts that have shown by the example of a Forex broker PrivateFX how the contours of the broker of a fundamentally new generation appear; its characteristic features are the following:
1. Powerful support of the Forex broker by a strong finance and investment group, which can seriously withstand unexpectedly rapid market volatility and easily fulfill any requirements of the financial regulator, as in PrivateFX Forex broker, opened by one of the world’s largest investment companies Concorde Capital, which is perfectly known in many countries worldwide as a strong financial corporation that provides services in the sphere of investment banking, broker service, and assets management.
Have a powerful bank structure behind one's back is one half of success for a broker of the “new generation”; yet know-hows of the broker, which can rouse curiosity of traders and investors, who are ready to start working with a new company, are equally important.
2. Know-how of PrivateFX services is universalization of trading and investment with attraction to Forex of a wide range of social groups, even those that have never traded before, and giving them an opportunity to choose any manager they like, owing to whom they can:
* invest in best PAMM managers;
* or copy offers of successful Forex traders (PAMM account), thus increasing gained income in times; besides, from all accounts available at the platform, close loss-making bids before the manager, as well as conduct one's own trade. All this can be done from one account!
* choose an innovative PAMM index by investing means in 3 managers at once in order to get average income, knowing by theory of probability that three accounts are more reliable than one;
* simply conducting one's own trade as a trader at Forex market, in other words, recalling “classics of the genre”.
What to choose? Every trader and investor can make his own choice from entire “supermarket” of fundamentally new services, but for this he needs to understand every know-how. Thus, according to the “Market Leader”
Classical PAMM accounts of experienced managers of PrivateFX allow to achieve quick growth of capital at successful trade. For this purpose protection from influence of balance transactions on a trading result is provided. Traders can also manage the process of raising funds to the account owing to the system of agent's reward, as well as choose the form of providing reports to an investor.
This instrument allows an investor to distribute risks between himself and the manager, as well as choose managers’ offers on the basis of his own investment strategy.
PAMM indexes of PrivateFX guarantee optimal diversification even for small sums. Unlike a standard PAMM account, where one manager works with means of several investors, in indexes one investor works with several managers at once. Therefore, even if one trader sustains a loss, an investor will get a total income by means of profits made by others. And owing to classification of indexes by the level of risk to expected profit (“Conservative”, “Balanced”, and “Aggressive”) an investor may manage his risks by choosing the most optimal variant for his strategy, including an opportunity to compile a portfolio from ready-made ones, as every PAMM index is, in fact, a compiled investment portfolio.
“Active Investor PrivateFX” provides an opportunity to use best strategies of every manager, invest and trade from one account at the same time, thus getting big, in comparison to managers, income. What is more, this instrument gives an opportunity to copy profitable offers of different managers to one account, in other words, get profit without direct participation.
According to experienced investors, the abovementioned instruments of PrivateFX give an opportunity of increasing income and reducing risks, for they are practically win-win schemes of accumulating capital. Besides, the broker provides best trading terms for traders, owing to which their expenses reduce, risks minimize, and results of getting stable profit and growing profits increase. Contest of traders and contest of analysts open new perspectives for every client of the broker, including an opportunity to working in the company.
3. Original market-speak of entering the market with potential of quick capture of a considerable segment in its market niche. PrivateFX has made a rather original and courageous step by having bought out software, thousandth client database, and perspective developments of ForexTrend company. As claimed by the new managing partner of PrivateFX Roman Karaulov on 1 October 2015, Private FX already has numerous clients even before start of its trade. These are several thousands of traders and investors that have come from “Forex Trend”. “This is for the first time in the history of Forex,” highlight analysts and experts questioned by the “Market Leader”.
4. TOP-management.When there is a financial base, numerous innovations and know-hows for traders and investors, center stage is taken by the company’s management, its experience and the skill to find “common ground” with clients by satisfying their numerous requirements and queries. Today there are three representatives of the company, namely: Roman Karaulov – managing partner of PrivateFX Group, Denis Nikolaev – head of “Operating Company”, and the head of the company with European license Kiriakos Kiriaka; each of them is well-known among traders and investors.
The answer to the main question “Will PrivateFX be able to enter the absolutely new level of broker services, demanded by the market and time?” is in their hands. Though,
° Success creates great people when circumstances and conditions have come to this.
