managed forex for small investors

Forex is not an old market. Just about twenty years ago, Forex was only a market that the countries’ national banks took part. And also we may mention about some international or multinational companies. Thats all, there were no individual accounts and small investors in Forex. It was a virtual platform that generally national banks exchanged currencies between each other.

After 1970 ’s, when the 1980 ‘s came, some new regulations and investment terms met with forex. By these regulations, individuals, lets say small sized investors found opportunity to trade in Forex.

Trading in Forex

Because of not having a cash amount as national banks, there had to be new definitions about trading and account types. So leverage system was born in 1980 ‘s to let individuals for trading in Forex. By the help of the leverage system, a small investor found opportunity to trade. For example, $100.000 with his $1.000 cash in his account. That means, for this account, you can open a position which has a volume of $100.000 by blocking your $1.000 from the account as a deposit to handle it in Forex. Managed forex accounts are most popular now.