Over the last couple of years, we can see a lot of brokers open their own services designed to let the client copy (what they claim to be) successful traders in automated mode and profit along with them. While this is true with some of them, others fail to put their promises into practice. At the same time, some of those services promise fantastic profits – from several hundred to several thousand percent in 12 months!
Since it is very difficult to prove or disprove those claims for an average retail investor, Masterforex-V Academy took the time to test some FX brokers and some of those auto-copying services for the investing community. The experts invested real money in those services.
The testing series started with CopyFX, a famous auto-copying service by Roboforex. The test results shocked everyone. The thing is that 14 out of 14 tested accounts failed and ended up losing everything in a matter of 4 to 8 weeks! Was it a coincidence? Let’s try to figure this out…
СopyFX.com: From Rating Leader To Loser In One Step
The tested master accounts to copy the trades from were chosen the conventional way. The thing is that Roboforex display the rating of master traders and their financial stats over the chosen period of time in order to let the investor make a decision based on the latest financial performance.
In order to enable the auto-copying feature, first you need to open a live account, deposit funds and choose one or several master accounts to copy from. The list of such master accounts is available at CopyFx.com. According to Oleg Voron, who is in charge of the Testing Department, responsible for all those tests made by Masterforex-V Academy, they chose the most conservative accounts to copy from, based on:
- minimal drawdowns
- at least 3 months of trading background
- biggest payouts
For example, he says, “If we were to choose those accounts today, we would probably choose these ones”:
As of June 14, 2016, they are the leaders of the rating. Back then, they also chose the best of the best. As a result, 14 lost investor accounts in 2 months even though they looked as promising as these ones.
If to consider a specific case as an example, let’s take a look at Noname001. The master account was chosen in October 2015. He was a “champion” (as they call those guys at Masterforex-V Academy) with 4000% ROI and a minor drawdown equal to just -0,5%. Who would resist this wizard trading multiplying your initial investment capital by 40 in a matter of 136 days!!!
As we have just mentioned, the test ended up with a complete los of capital. This is the chart indicating his performance.
As you can see, the tiny drawdown of just 0.5% rapidly turns into -99,99%. How come +4000% turns into -99,99% in a matter of weeks? This is a tricky question, which can be answered only by Roboforex.
When asked about further tests, he said the following:
There is no point in resuming the test by investing real cash. It is 100% clear for us. We have posted a screenshot with today’s “champions”. You can save it and go back 2 months later to see if they are still there, and if so, what their performance is.
As the result of this bad luck, Masterforex-V Academy decided to publish the information about the incident in order to warn other potential investors against possible losses when investing in CopyFX by Roboforex.
Most likely Roboforex has another opinion on the matter. We asked Mr. Voron about it, and this is what he responded:
A Roboforex manager says that the company cannot be blamed for this since all the investors come to CopyFX, open accounts, deposit money, and lose it on their own initiative. Roboforex is never involved in the process. Plain and simple…
There was an investor who gave his money to invest in all 14 accounts. You will be surprised to find out that the investor didn’t get disappointed after this kind of bad luck. On top of that, he wrote that he is grateful to the broker for a valuable lesson to learn and be smarter in the future.
1. Roboforex is persuasive when talking people into investing in CopyFX. In case of a loss, the very investor is made a scapegoat.
2. There is nothing more to prove and disprove with the service that loses 14 investment accounts out of 14. This is definitely not a coincidence. This is a clear trend, which is not your friend in this case.
3. The investor is glad that he once came to Masterforex-V Academy and met with truly successful traders. He invested in some of them in October 2015, and unlike CopyFX, they keep on showing outstanding and consistent results.
4. He has already had talks with Masterforex-V academy and pro-rebare.com to offer those winning traders unrivaled conditions. Now, he is waiting for an invitation from other brokers.
If you want to leave you comment on the situation and ask a question, you can do it at Masterforex-V Academy’s local forum for traders and investor. By the way, over the next few weeks, Masterforex-V Academy is planning reveal the results of other similar tests (Zulutrade, mql5, etoro.com, TurboForex, forex4you.org, Grand Capital etc.). Stay tuned and good trading!
