Discover how to expand your portfolio with a Forex Managed Fund
The start of a new financial year is always the perfect time to review your previous investment strategy to put yourself in the best position to boost your portfolio returns for the year ahead.
Need to boost your investment returns?
One way to improve the chance of boosting your investment returns is to introduce new investment instruments that can complement your existing portfolio.
In this article, we will introduce Forex Managed Funds, which are gaining popularity among investors who want to tap into the trillion-dollar global forex markets.
There is no doubt that for the past few years, investors have been searching for new investment vehicles that makes money. You know very well of the low interest rate environment that delivers negligible returns on cash.
Given the low growth environment across the globe, it is easy to understand why investors are looking for alternative investments such as forex managed funds.
Let’s consider the basics of Forex Managed Funds and the step-by-step process of how you can include them in your portfolio.
What are Forex Managed Funds?
As the name implies, Forex Managed Funds are investment vehicles where you have a team of traders and risk managers who manage the funds for you. The key difference between a Forex Managed Fund and the common managed fund is the markets where they invest.
Forex Managed Funds take advantage of the size, liquidity and depth of market in the global forex (currency) markets. With the daily trading turnover estimated at about US$ 4 trillion, the forex market is considered the largest market in the world compared to other markets like equity and bond markets.
The size and liquidity of the forex market presents Forex Managed Funds many trading opportunities on a regular basis.
Why is there a Demand for Forex Managed Funds?
The demand for managed products has always existed, particularly from investors who want diversification and exposure to high-growth investment vehicles.
The Synergy team realised that many investors were entering into money management arrangements with people operating out of poorly regulated jurisdictions, just because it meant someone would do the trading for them.
To meet this demand for Forex Managed Funds, we built a dedicated team experienced in the most vital areas of risk management and analysis across technical and fundamental data. The team covers not just foreign exchange but all global financial instruments.
How does Forex Managed Funds work?
Investing in a Forex Managed Fund is as easy as choosing a strategy that fits with your investment profile and funding your account. Here is a step-by-step process on how you can invest in a Forex Managed Fund:
Step 1: Choose a strategy
At Synergy FX, we have a number of strategies to choose from. Once you have found an investment strategy which is aligned with your own risk appetite and personal objectives, then you need to open an account.
Step 2: Open an account
You can open an account by completing this application form.
Step 3: Fund your account
Once your account is opened, you can invest a nominated amount (minimum deposit applies) then the Synergy FX team can start trading the forex markets on your behalf.
Is Synergy FX’s Forex Managed Funds for everyone?
Synergy FX’s forex managed funds cater to the full spectrum of investors including high-net-worth individuals, SMSF trustees, corporate account holders as well as private individual clients.
Investors who want to diversify and tap into the global currency markets can invest using our Managed Trading Account.
People who want to invest using the managed trading account need to complete a comprehensive risk profile, which will be analysed for objectives, risk appetite, and overall financial position, to ensure it is suitable for the client.