How to reach for investors?

[vagroupnet]

I think I need some help here.

It seems all investors are looking for good trader with consistent track record for several years.

I was trading with 2 of mine partners and we have been doing this for 2 years on account of one Russian investor. Recently because of disagreements inside of our team we decided to split up.

I opened account at OANDA and started to look for investors. I tried to posting on Forex related forums info about my services but I found it is illegal. You can post only your thoughts there.

Anyway, 5 investors with $100 each - that’s all I’ve got after 1 month. Most of the visitors are other money managers that are looking to compare results with their own.

Please help me with (advice/contacts/urls) how trader can get to real investors. There must be a way! Some kind of trader incubators, showcases, ranking sites where investors do look for traders. If you are investor – please share with how and where do you look for traders.

I don’t like to chat about FOREX on forums, I don’t sell signals, I don’t want to quit my job, I don’t want work in investment bank, I don’t want to relocate - all I want to trade account of my own + accounts of other investors.

Thanks God, recently I was contacted by one CTA saying that they scout for traders like me. I have big hopes about it. Actually this was inspiration to this thread.

I will consider any help and willing to share in profits for this.

Andrew Vorobyov

 

[trader_dante]

See my PM

 

[F.x.]

I'm in the same position. Any advice?

 

[trader_dante]

Attracting investors

I'm in the same position. Any advice?

First things first.

Make sure you know what you are getting into. Investing other peoples money is advantageous in the fact that it offers no capital risk of your own and plenty of upside (fixed fees, profit splits) but its not that cut and dried. Some people may think its much easier when its someone elses money on the line but you may find that investing/trading other peoples money may affect you adversely (it did with me when I was prop) when you realise that you are responsible to someone else not yourself which can create all kinds of pyschological/emotional issues.

Second to this, depending on your backers you may find you get levels of interference that are not desirable. e.g. What are you in at the moment? What?! You're short the S&P??! It's been going up for weeks?!"

Thirdly and perhaps most importantly there are all sorts of logistical and regulatory nightmares. In the UK, trading for others is highly illegal under a profit share arrangement unless you work under an umbrella company or you have the necessary regulatory certificates to do it. (In the UK it costs £1,500 to submit an application form to the FSA to trade others money and there is no guarantee that you will be accepted as they take experience etc into account... with the application fee being non-refundable for starters...a lot of people probably think they won't get caught...until they produce a 30% drawdown and bear the brunt of some disgruntled investors wrath...first rule of business is (or should be) never trust anyone!

I have been offered as much as £1m backing in total in the last year or so and refuse to accept it for the above reasons, I won't even look at trading a mini account for a family member but based on my experience and knowledge here are your best bets if you are set on the idea and you are legally able to do it...

1. Get a track record. If you are any good and in a position to return money to investors, you should be able to make money for yourself. Start small and build a track record that you can show to people. Your account may be small but its consistency and percentage returns, plus awareness of maximum drawdowns etc that investors look for. In this game, word of mouth quickly spreads. It depends on your circumstances but for smaller traders and even some that have become huge (e.g. the market wizards) investment often started at home. If family see you making money, they may come forward and ask you to manage some for them...this can lead onto close friends who then spread the word to other friends that they are doing well with you etc and you can get an entry in this way.

2. Get a presence in the community. This and the point above are closely related but adding this will boost your chances ten fold. If you look at the entries for Top 100 Traders (Trader Monthly) a large majority come recommended. That is to say, someone has come forward and said "I know a great trader who has produced massive returns..." and then they are assessed and featured. I was once contacted by the Financial Times because of a Dow position I had posted on a thread on here! So, easiest way is to start a thread on a board like this one or FF is good for investment also and show people what you are doing. You can clearly stipulate you are not going to give your edge away but entry and exit points or even screenshots of account statements on a consistent basis will get people pm'ing you often after as little as a few weeks. If you go one step further and become a frequent poster and a helpful one you will get a lot of opportunities and see a lot of doors open that you will literally not believe. With a board like this you not only have scouts from firms, funds etc but you also have "tired" investors that cannot make money and are quick to latch onto someone that can.

Sorry if these are obvious but they really are the easiest ways. Many people have been burnt in life and there is a lot of notoriety surrounding traders (Madoff ponzi scheme all the way down to the sh*t system you buy that doesn't make money etc) so simply posting a message saying "I make X% a week, anyone interested in backing me?" is almost 100% destined to get you nowhere.

The best way to get money thrown at you is to just be yourself and don't ask anyone for it.

Actually, it's a lot like getting a beautiful girl to fall for you: play it cool, do your thing and of utmost importance: act like you don't need it or want it.

Always remember the legal side though. It really is key. If you don't do things properly and you are caught, you can be fined, imprisoned and banned from trading for life. Is the risk worth it? That's something only the individual can answer.

 

[F.x.]

Thanks for the great info!

 

[barryb]

Re: Attracting investors

Actually, it's a lot like getting a beautiful girl to fall for you: play it cool, do your thing and of utmost importance: act like you don't need it or want it.

He even does a dating tips service now. Is there no human frailty he won't exploit?

 

[Magos]

what about using your telephone, linkedin, asmallworld,going to events..... or even facebook!

 

[singh2jatt]

Thanks trader_dante.

I was new 2 trading over the past 2 years but now have found my trading style and strategy.

I originally started off with £1200 in around july 2008 and made about £500 in the first 2 months (while still learning), but in OCT 2008 i lost all my profits and most of my capital due to the free fall of the FSTE100, leaving me with a reduced capital of £120.

Touch would since then i have started making money again and in the last 4 months i have made around 50% on my capital using a low risk strategy and have been held back by my small capital around £200.

I am due to finish off my masters in a few month in Finance and Financial regulation. I am unsure what i should do, try to find a job in the city, or look for investors. As if i get a job i can save my income and use that to build up my capital, but if i look for investor i may have 2 disclose to much information about my trades.

Also what type of offers would investors make to me?

 

[barryb]

Thanks trader_dante.

I was new 2 trading over the past 2 years but now have found my trading style and strategy.

I originally started off with £1200 in around july 2008 and made about £500 in the first 2 months (while still learning), but in OCT 2008 i lost all my profits and most of my capital due to the free fall of the FSTE100, leaving me with a reduced capital of £120.

Touch would since then i have started making money again and in the last 4 months i have made around 50% on my capital using a low risk strategy and have been held back by my small capital around £200.

I am due to finish off my masters in a few month in Finance and Financial regulation. I am unsure what i should do, try to find a job in the city, or look for investors. As if i get a job i can save my income and use that to build up my capital, but if i look for investor i may have 2 disclose to much information about my trades.

Also what type of offers would investors make to me?

Get a job, save, and keep learning, as you're still a long way off being taken seriously in any type of trading capacity. Look at your stats in the cold light of day since you started;

Starting balance: £1200
Account high: £1700
Current balance: £200
Total % return: -83%
Largest account drawdown %: 93%

Are these the kind of return on investment figures investors will be looking for?

 

[trader_dante]

Thanks trader_dante.

I was new 2 trading over the past 2 years but now have found my trading style and strategy.

I originally started off with £1200 in around july 2008 and made about £500 in the first 2 months (while still learning), but in OCT 2008 i lost all my profits and most of my capital due to the free fall of the FSTE100, leaving me with a reduced capital of £120.

Touch would since then i have started making money again and in the last 4 months i have made around 50% on my capital using a low risk strategy and have been held back by my small capital around £200.

I am due to finish off my masters in a few month in Finance and Financial regulation. I am unsure what i should do, try to find a job in the city, or look for investors. As if i get a job i can save my income and use that to build up my capital, but if i look for investor i may have 2 disclose to much information about my trades.

Also what type of offers would investors make to me?

Don't worry about building your capital as much as improving your record with regards to your drawdown.

Most investors will worry about drawdown first and foremost. They like to know statistically what the worst case projected scenario is should they invest in you.

Put down your account to date, to learning experience.

Start again and don't let your max drawdown get above 10%. No matter how small you have to trade to ensure this.

Once you have a record, finding funds is very, very easy.

Drop me a PM once you have got a 6 month record and we'll go from there.

 

[Forex-Assistant]

I am new to this site and got here by doing a search. Like many new members I have questions that brought me here. I don't need advice on investing, as I have not lost a trade in over 2 years, (over 3,000 trades) however, my system, one that I created is better suited for investors than traders because although it is ultra safe, it only makes 1 to 2% per month. After observing traders responses over the last 2 years, traders seem to much prefer our other system because they want more profit than just 20% a year.

I need to be able to attract investors that are more interested in security than profit. I can get to traders, but how does one go about letting your everyday investor know that there is a better solution to a monthly income than annuities?

Here are the basics, no loss system, not risk free but the risk is adjustable, higher risk, higher profit, lower risk.... Can remove profits quarterly, monthly, whatever... set up monthly payments like an annuity but the principle remains in possession of the investor. Computer robot does all the trading, and the system is integrated with a VPS type operation using the MT4 so the investor is touch free except he tells the tech how he prefers to trade and sets up his own broker account.

I do not do sales generally but I need to figure out how to enter the investor market. Can anyone advise me on how to get started?

 

[trader_dante]

I am new to this site and got here by doing a search. Like many new members I have questions that brought me here. I don't need advice on investing, as I have not lost a trade in over 2 years, (over 3,000 trades) however, my system, one that I created is better suited for investors than traders because although it is ultra safe, it only makes 1 to 2% per month. After observing traders responses over the last 2 years, traders seem to much prefer our other system because they want more profit than just 20% a year.

I need to be able to attract investors that are more interested in security than profit. I can get to traders, but how does one go about letting your everyday investor know that there is a better solution to a monthly income than annuities?

Here are the basics, no loss system, not risk free but the risk is adjustable, higher risk, higher profit, lower risk.... Can remove profits quarterly, monthly, whatever... set up monthly payments like an annuity but the principle remains in possession of the investor. Computer robot does all the trading, and the system is integrated with a VPS type operation using the MT4 so the investor is touch free except he tells the tech how he prefers to trade and sets up his own broker account.

I do not do sales generally but I need to figure out how to enter the investor market. Can anyone advise me on how to get started?

Read post number 4.

 

[timsk]

Hi Forex-Assistant,
Welcome to T2W.
Well, I have to say, you're novel!
We've had new members claiming to be 100% profitable before. But I can't help thinking that over 3,000 trades - all of which are profitable - ought to produce gains larger than 1% - 2% p/m? Unless you're risking an infinitesimally small fraction of your account equity on any one trade, I would have expected a stellar record such as yours to produce much larger returns. Either that, or all of your winning trades - i.e. all of them - are only just the right side of break even making the average profit per trade miniscule. This begs the questions:
1. How much are you putting at risk on each trade (as a percentage of your account)
2. When you do finally have a losing trade (and, sooner or later, you will) will the loss wipe out all the meagre profits?

Am I missing something? These are the kinds of questions you need to be able to answer before anyone is going to hand over their money for you to trade.

Tim.

 

[neil]

I am new to this site and got here by doing a search. Like many new members I have questions that brought me here. I don't need advice on investing, as I have not lost a trade in over 2 years, (over 3,000 trades) however, my system, one that I created is better suited for investors than traders because although it is ultra safe, it only makes 1 to 2% per month. After observing traders responses over the last 2 years, traders seem to much prefer our other system because they want more profit than just 20% a year.

I need to be able to attract investors that are more interested in security than profit. I can get to traders, but how does one go about letting your everyday investor know that there is a better solution to a monthly income than annuities?

Here are the basics, no loss system, not risk free but the risk is adjustable, higher risk, higher profit, lower risk.... Can remove profits quarterly, monthly, whatever... set up monthly payments like an annuity but the principle remains in possession of the investor. Computer robot does all the trading, and the system is integrated with a VPS type operation using the MT4 so the investor is touch free except he tells the tech how he prefers to trade and sets up his own broker account.

I do not do sales generally but I need to figure out how to enter the investor market. Can anyone advise me on how to get started?

Here we go again

 

[Forex-Assistant]

Here we go again

Yea, I was hoping that since my question was not about trading but about how to change from marketing to skeptics that have been burned a few times too many, (I can certainly relate), to a different type of investor, I was hoping to avoid getting beat up. I am not looking for traders, got that part covered but just to defend myself, I put up my IBFX report. It quits when the NFA's FIFO took over. 15 months are attach to this post. But for those that are not so concerned with me being honest, but instead wants to return to the subject of this thread, I would still like to know if there is anyone who can give an honest direction as to where I can go to get started. If not, don't worry about it, I am just doing research to find out where to start. Naturally, I would start with other investors but maybe I need a completely different vantage point. Help if you can, if not, it's been a pleasure.

 

[Hotch]

myfxbook etc. There are plenty of brokers which do PAMM accounts now, and those are quite a neat idea from what I've seen.

If you publish your results anywhere on the net and they're good enough for investment, people will find you, the above results are not good enough, for anyone, trader or investor.

 

[Scotty2Cues]

the above results are not good enough, for anyone, trader or investor.

why not?

I havent looked in depth but isnt an average of say 1% per month over that time period very good?

 

[Forex-Assistant]

1 to 2% is good for investors but as the risk is adjustable, we have seen over the last couple of years that traders will try to get more out of the system and not follow our recommendations. This is the reason that we redesigned RoboMiner, the program for traders, to the new PIPen for investors. PIPen is on myfxbook by the way, but I don't think my neighbor who wants a program to put his kid through school is going to think to look on myfxbook, hell he doesn't even know the forex market exists and is going to lose most of his money to some wallstreet hustler. Anyway, guys, thanks for your opinion. I need to find someone with a degree in marketing, I'm wasting your time here. The subject of the thread caught my attention and I figured that it wouldn't hurt to ask. I already have over 2500 members on my forum, top traders that help with my research, but no one really knew how to go about bridging the chasm between we who know how and those that need. Don't believe the old adage, that 'if you build a better mouse trap the world will beat a path to your door'. If that saying was ever true, it isn't any more. Today, everyone is more interested in throwing stones than progress, just look at the political commercials. Anyway, good luck everyone. And thanks for trying.

 

[FX Bandit]

I am new to this site and got here by doing a search. Like many new members I have questions that brought me here. I don't need advice on investing, as I have not lost a trade in over 2 years, (over 3,000 trades) however, my system, one that I created is better suited for investors than traders because although it is ultra safe, it only makes 1 to 2% per month. After observing traders responses over the last 2 years, traders seem to much prefer our other system because they want more profit than just 20% a year.

I need to be able to attract investors that are more interested in security than profit. I can get to traders, but how does one go about letting your everyday investor know that there is a better solution to a monthly income than annuities?

Here are the basics, no loss system, not risk free but the risk is adjustable, higher risk, higher profit, lower risk.... Can remove profits quarterly, monthly, whatever... set up monthly payments like an annuity but the principle remains in possession of the investor. Computer robot does all the trading, and the system is integrated with a VPS type operation using the MT4 so the investor is touch free except he tells the tech how he prefers to trade and sets up his own broker account.

I do not do sales generally but I need to figure out how to enter the investor market. Can anyone advise me on how to get started?

Surely even people on T2W aren't that stupid?

 

[mblake]

I found his technical research forum some time at forex-assistant.com. I agree with Scotty above that 1-2% is actually pretty good over the long term. With compounding that builds up a nice fund when looking ahead 5 years plus. In investment terms, that isn't so long and whenever I have looked at the financial institutions they all talk about taking longer time horizons to build up the returns.