What are the account opening
minimums?
Standard FX
Account: $40,000
What are the margin
requirements?
Standard FX
Account: $2,000 per lot
How do I withdraw
funds from my account?
Withdrawing funds from your
Loyal Group Limited is easily done by logon to the trading platform,
our online trading platform facilities your withdrawal request
with a simple operation.
Withdrawal requests are processed within the period
as defined in the Trading Agreement signed between
us.
How do I add funds
from my account?
Via bank wire
transfer or call our Customer Service for the arrangement.
Please see our Deposits page for details.
Can you illustrate
more specifically how a trade is structured and how
profits are calculated?
Let's consider
a hypothetical example that is actually very realistic
of how you could trade the British Pounds / US Dollar
which is quoted in Dollar per Pound:
1. You have $2,000 in a trading account
2. You identify a high-probability BUY opportunity
3. You BUY 1 lot of 200,000 Pound/Dollar at 1.5660
4. You calculate potential 80-pip profit and place a
limit order at 1.5740
5. You calculate potential 40-pip loss and place a stop
order at 1.5620
6. Few hours later, Pounds rallies to 1.5730, stalls
and begins to reverse
7. You SELL your one lot at 1.5720 to lock in a 60-pip
profit
Let's analyze:
You BOUGHT $200,000 worth of Pounds/Dollar at 1.5660
You SOLD $200,000 worth of Pounds/Dollar at 1.5720
+60 pips of profit X $20.00 per pip = $1,200
Let's summarize:
In just few hours of trading, you realized
a gross profit of $1200 before commission. The gain
is approximately 60% on your $2,000 investment!
But wait, how can
I buy or sell a currency lot worth $200,000 with just
$2,000 in my account?
It is the
high degree of leverage available to Forex traders that
enables you to do this. With margin requirements as
little as 1%, a day trader with $2,000 in a trading
account can open a position worth up to $1,000,000.
It is this leverage that makes it possible for even
a part-time day trader to earn double-digit monthly
returns on investment. (Please note, however, we do
NOT recommend opening such a large position with just
$2,000 in your trading account. Under most circumstances,
proper money management dictates opening a position
no larger than $200,000 to $500,000 with a $2,000 trading
account.)
What if I don't have
$40,000 of risk capital to open a trading account?
There are
a few electronic brokers that permit new traders to
open margin accounts with less than $40,000. However,
you must be even more careful with a smaller account
since any loss magnifies reduction of your trading capital
and the ability to continue trading your system. That
is why most experts do NOT recommend self-trading with
less than $40,000.
Sounds impressive,
but how much risk is involved?
Since leverage
can work against you as well as for you, the risk factor
is very high in currency trading. So, a person who does
not have extra capital that he or she can afford to
lose should not trade in the currency markets. However,
please keep in mind that most income opportunities involve
risk. In fact, some are even riskier than trading currencies
Who does all the trading?
A wide range
of players. Major banks are most active, accounting
for nearly 80% of trading. But multinational companies
account for billions of dollars of trading as well.
Global money managers, individual speculators and tourists
also are active in currency exchange.
How do I get started?
It's simple!
Just go to our Open Account page and send us an email,
we will respond the same day and have one of our Account
Executives contacts you.
I have no experience
and no financial degrees, how can I be successful?
Entering the
global currency markets without knowledge and support
is a losing proposition as with any other market. Successful
traders are educated in the markets they trade. LGL
was founded to help people achieve the results they
desire without having to go through the learning curve.
By utilizing our managed account program you are able
to focus on your time and let us use our discipline
and experience to follow the market.
Can I issue trading
orders around the clock?
Absolutely,
you have 24 hours access to the market through the Internet
and over the phone. Access to the trading room is limited,
although, once you entered the room, you can remain
there around the clock until the market closes on Friday
night.
What is margin?
As explained
in our Introduction page, margin is collateral for a
position.
I am interested in
Forex and spot trading, but would like some additional
information. Any suggestion?
Though our
account executives would be much obliged to walk you
through this, there is no better way than to open a
demo account where you can experiences what it's like
to trade without any risking of capital.
How can I withdraw
part or all of the money from my account?
The process
is simple, please send a request to our Customer Service
Centre and ask the Account Executive to pick it up from
you. The details are fully explained in the agreement.
What are the primary
currencies traded in Forex?
There are
four currency that are heavily traded and that almost
immediately liquidity : EUR/USD , USD/JPY , GBP/USD
and USD/CHF.
How much profit can
actually be made?
Of course,
results can and do vary among individuals and no guarantees
can be made as to profitability. However, let's look
at some sample numbers based on averaging just +10 pips
a day and each pip having an average value of about
$7.50. A beginner working just four days a week and
trading just one(1) unit/lot could earn about $300/week
or about $1,200/month. A more experienced trader still
working four days a week and trading three(3) units/lots
could earn about $900/week or about $3,600/month. An
advanced trader still working four days a week and trading
ten(10) units/lots could earn about $3,000/week or about
$12,000/month.
So, what can be done
to reduce risk and increase the potential for success?
First, you
must be willing to allocate enough time to study and
master basic trading skills/disciplines before putting
real money at risk. An experienced currency trader or
company that offers training can help in this area.
Second, you must acquire a proven trading system or
methodology that should be strictly followed to eliminate
trading on emotions. Such a system will incorporate
good money management including correct stop loss placements.
Third, you must have a real-time data feed with quality
charting software. This will enable you to clearly analyze
the market and follow your trading strategies.
Frankly, I don't have
time to self-trade. But I would like to energize my
investment portfolio with some currency trading. How
does a managed trading program operate?
A professionally
managed Forex currency program can be structured in
a number of ways. Most have minimum account requirements
of at least $25,000 or more. They usually require an
investor to enter a written agreement with the management
company which includes a maximum risk tolerance level.
Investors then deposit funds into a special account
held at a bonded institution (bank). If the funds are
from an IRA, they are transferred to a trust company
before being forwarded to the bank. Thereafter, the
management company trades for the investor attempting
to achieve a 3-9% net return per month. For their services,
a trade commission and/or incentive fee is charged and
deducted from the gross profit. Some programs even provide
segregated accounts, insurance policies and trading
audits to increase investor safety and peace of mind. |