SuperTrader

Thursday, February 20, 2014

More about SuperTrader

SuperTrader platform was released near the end of 2013.
This social investment platform aims to bring FxPro’s clients and investors together with experienced traders and trading strategy leaders. It allows investors to review and automatically copy the trades of these experienced traders in their own FxPro account

Because SuperTrader is exclusively available to FxPro clients, you first have to open a normal FxPro account, after which your SuperTrader account will be created as well.
Who are the SuperTrader Leaders
SuperTrader is to give investors access to “experienced” Fx traders.
Leaders are either corporate entities or individuals that act as strategy providers and send their trade signals in real time  through SuperTrader. It’s important to note that all leaders send their signals from “live” trading accounts, so they all risk their own money as well. In addition FxPro mentions the leaders go through a stringent approval process during which the performance of their trading strategy is closely monitored to ensure consistency and adherence to certain FxPro risk management guidelines. 
Currently there are about 10 strategies you can review and copy. These are split in 2 types, FxPro or Third Party strategies.
Selecting the Leaders/Strategies to Copy on FxPro SuperTrader
With any social trading and trade copying service review it’s important to look at the data and features offered to investors to help them analyse the past performance and make a decision on which traders (called “strategies” on FxPro’s platform) to copy.
From the SuperTrader strategies page you can compare all strategies using key parameters like “average weekly returns”, “maximum drawdown” and “investor rating”. For each strategy you can drill down to get further information, including strategy description, performance graphs of time and historical statistics like average winning/losing trades $, profit factor, net P/L $ and winning %.

SuperTrader Risk and Money Management features
Once you’ve decided which strategy to copy, you can set a number of parameters in SuperTrader to help you manage your risk:
  • “Amount Allocation in $”, which is how much of your account you want to allocate to the strategy (the minimum amount is $500 though a few strategies may require a higher amount). Please note that all trades will be copied proportionally. So if you allocated $500 and the strategy’s equity is $5,000, when the leader opens 1 lot, in your account 0.1 lot will be opened.
  • “Ratio Multiplier” of 1, 2 or 3 which you can use to increase your risk.
  • “Strategy Maximum Loss %” you allow before you want all trades to be closed and to stop following the strategy (between 5 and 30% allowed).
  • “Trailing Stop (Equity) %” is similar to the previous stop, but takes into account gains as well, so you can lock in profits.
FxPro’s SuperTrader user guide explains these in more detail, but overall the money and risk management parameters are fairly intuitive and offer enough scope to manage your account depending on your personal risk profile.
Once you’re following strategies you can follow the performance of your account in real-time, and if you like, can manually close any trades which were opened by a strategy.

SuperTrader Costs

Registering for FxPro SuperTrader is totally free and the spreads are the same as you’d get in a normal FxPro account (they’re industry standard and competitive). Only when you copy a 3rd party strategy you’ll have to pay a 5% performance fee on profitable trades.
When talking about costs we always like to mention and review the slippage as well. Slippage (for those not familiar with social copy trading) is the difference in price you get in your account and the price the trader you copy got. Because the traders/strategies on SuperTrader all use FxPro trading accounts as well (like yours), you’d expect the slippage to be lower than on social trading platforms where different brokers are involved.

FxPro SuperTrader review Pros:
  • Leaders are vetted by FxPro
  • All leaders trade from real money accounts
  • SuperTrader accounts can be in USD and now also available in EUR and GBP
  • Easy to change between accounts (in different currencies)
  • All data (including $ amounts) is fully transparent
  • Some good quality leaders to copy
  • Good risk/account management controls
  • Very clear user guide
  • Trade history can be downloaded in Excel
  • Low cost and reasonable slippage
  • Fully integrated service
FxPro SuperTrader review Cons:
  • No demo account
  • Only one account per currency (USD, EUR, GBP)
  • Some strategies require high initial investment ($10,000)
  • So far still new overall platform and limited trading history of leaders
  • No interaction with leaders possible

In summary, FxPro SuperTrader is a social investment platform for more serious investors. It’s not for people looking to play with $50 or $100, but inest $1,000 upwards. The interface is pretty intuitive and all the data provided on the leader traders and strategies you can copy is fully transparent. FxPro also pre-selects the strategies and monitors them, meaning the list to select from is fairly manageable and the statistics provided useful. You can manage your risk per strategy pretty closely. The main caveat is that because SuperTrader is fairly new, there’s not a long sustained period of historical data available, and the long term success of the strategies is harder to predict. It is however very positive that they all invest significant amounts of their own money which can be seen as a mitigating factor to the lack of historical data.


Two more important things:
(1) Only non-US residents (e.g. European, Asian, etc.) can open real trading account and take part in the SuperTrader program.
(2) As I am an Introducer of FxPro Financial Services Limited, new clients could open real accounts via my Introducer link below:

http://www.fxpro.com/ib/hu/usd/252067

or via my Introducer website: http://www.steveforex.com

After opening a real trading account, can join to the SuperTrader program.

SuperTrader is only available for FxPro Financial Services Limited customers only !

If you have any questions, please do not hesitate to write me!

E-mail address: steve.blogspot@gmail.com

"Past performance is not a guarantee of a future performance"
"Trading CFDs incurs high risk of loss"