What’s up Painless Traders! Today I want to share with you about Forex Account Management services available on various platforms such as online websites, discord, telegram, whatsapp, etc.
DO NOT ENGAGE IN ANY OF THESE SERVICES
This might be obvious to some of you, but there have been many people who have fallen for this scam.
Why it looks good and lucrative:
- Those with no time to manage an EA or trade manually see this as an easy way out. Literally just fund an account and handover the trading password/ID to the account manager. Collect profits and payout 50% (depending on your agreement) to the account manager.
- Returns promised sound very good. Well…too good to be true. Often they will advertise and promise 100% or even 200% weekly returns.
Why it is just a huge scam altogether:
- The trading itself is not a scam as the account managers would have to know how to trade, if not they wouldn’t make any profit for them to earn their commission. The entire system and approach itself are designed to make it a lose-lose situation no matter how you look at it.
- If they lose your money, you do not need to pay anything, they do not need to pay anything. And trust me, they WILL lose your funds and blow your accounts. In search of quick commissions, they will play with ridiculous lot sizes for quick bucks. A friend of mine unfortunately fell into this trap and funded USD 1000 into his account. The account manager immediately opened multiple standard lot sizes for XAUUSD (Gold). The ENTIRE account was blown within 15 minutes. All the account manager did was apologize and started begging and harassing my friend via text and calls to continue funding the account for him to ‘redeem’ himself. Needless to say, they don’t feel any guilt blowing accounts as they are just too used to it.
- Profit sharing payout dates are usually agreed upon before the start of trading, it could be daily, weekly or monthly. Unfortunately, no matter which method you choose, they will harass you non-stop DAILY for their profit share. They do this because they know their method of trading is not consistent and profitable at all. Quick in and out, extort for their share on the daily, despite agreement being weekly/monthly. If the payout was really weekly/monthly, I am sure they wouldn’t have any profit payout at all, seeing how ridiculous their trading methods are.
- They operate via online platforms and there isn’t any legal/official agreement term. Online platforms, such as Telegram especially, are being used extensively to scam people due to its convenience to hide their identity and create groups whereby people are not allowed to chat in the group or see who the other members are. They will continue posting fake reviews and account screenshots with good profits, when in reality, they blow 99% of the accounts managed. It’s a very quick in and out scam scheme for them. With many online payout methods now, it is easy for them to create multiple accounts for quick scam schemes without getting called out or caught.
If you want someone to manage your account, my advise is to go through legal regulated brokers such as FXTM. They offer MAM services whereby you open an investor account and fund your accounts under an investor of your choice. In no way, am I recommending this as the traders might lose your money too, but doing it via a regulated broker means you are at least protected in a way. No one will harass you for their profit sharing payout, FXTM will payout the commissions for the traders automatically on a weekly/monthly basis. The traders do not have access to your personal info to contact/harass you. Again, this is just an idea if you are keen for such a service.