USA Today – The rise of copycat currency traders

We’re pleased that leading US newspaper USA Today has quoted LeapRate Managing Director Gerald Segal in its article Friday on the rise of social and copy trading.

Journalist Chana R. Schoenberger covers a variety of issues facing both top traders which agree to be copied and try to make money that way, as well as the brokerages which offer social and copy trading, such as social trading leader eToro.

Some excerpts from the article include:

When all goes well, it’s one of those super-rare, win-win steps in investing, both for the clueless investor who does all the copying and for the trader who pockets some nice “expert-trading” fees.

About one in every 10 is generated through a copycat trade.

The average currency trader makes money just a third of the time, LeapRate says, while copycat traders do so about half of the time.

Authorities in the United Kingdom have threatened to regulate copy traders as money managers, which would force them to register and pay fees. “That would kill the copy-trading industry,” Segal says.

The full article can be seen at the USA Today website. Note that the original article appeared on website OZY is a USA TODAY content partner providing general news, commentary and coverage from around the Web. Its content is produced independently of USA TODAY.

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