Author: Livia Tay, MY
Last Updated: November 5, 2024
Copy trading is an investment method that lets one person automatically replicate the trading actions of another. In this arrangement, an individual (the "follower") connects their account to a more experienced trader’s account. When the trader makes a move, such as buying or selling, the same trade is executed in the follower’s account in real time. Essentially, copy trading allows people to invest in the markets by “copying” the strategies of others.
If clients inquire about copy trading, kindly provide them with the detailed PDF guide. Please refer to the table 3.2.1.1a below for a list of copy trading guidelines we've created in TEAMS for your convenience. Below is the link to the files, please select the appropriate language for the client.
Link: TEAMS - Copy Trading
| Copy Trading | |
| Partial Withdrawal | Followers can often withdraw a portion of their funds while still maintaining the connection to the trader they are following. This feature allows for flexibility and the ability to manage liquidity without completely disengaging from the copy trading process. |
| Provider Creation | Client can set themselves up as providers on copy trading platforms. This involves creating a profile that highlights their trading strategies, performance history, and risk levels, allowing potential followers to assess whether to copy their trades. |
| Subscription | When a follower decides to copy a trader, they typically subscribe to that trader's account. This subscription often includes selecting how much capital to allocate for copying trades. Once subscribed, the follower’s account automatically mirrors the trader’s actions in real time. |
| Un-Subscription | Followers have the option to unsubscribe from a trader at any time. This action ceases the copying of trades, allowing the follower to stop mirroring the provider's strategy without affecting their overall account. |
| Suspend (Closing) | Once an MT4 account is closed, all trading activity associated with that account will cease. This includes both open positions and the ability to execute new trades. |
table 3.2.1.1a
Frequent Asked Questions for Copy Trading (CT)
Q1: What happens to my account after unsubscribing from Copy Trading?
A1: Copy Trading operates as a visual account. Once you unsubscribe, it will convert into a standard trading account.