Who makes the most money on Forex?

The question of the amount of earnings is always the most interesting moment in any work, let alone Forex trading.

This field of activity is surrounded by legends about the simply enormous profits that traders receive.

At the same time, specific amounts are rarely mentioned; basically, traders’ earnings are estimated by what they have - expensive houses, yachts, cars.

In fact, there is a huge difference between the amount of income of even the most successful traders, and a trader who showed a monthly profit of 500% may earn less than one who traded with only 5% efficiency.

What is the secret of such unfairness?

As always, it's all about money, or rather, the amount of it. There are several directions in trading, and the size of your earnings will depend on which one you choose.

Trade only with your own – Surprisingly, people who want to trade independently and who have a lot of money rarely come to the exchange.

Typically, a future trader's capital is limited to a couple of thousand dollars, or at best, a couple of tens of thousands.

It's clear that you won't earn much with such funds, and if you abuse leverage, you'll make some money, but it won't last long. Therefore, trading independently with your own funds yields the least profit.

PAMM account managers offer an excellent opportunity to increase your earnings by tens, if not hundreds, of times.

Consider this: if, with a 10% monthly profitability, you earn only $100 on $1,000, then if you manage a PAMM account with a $100,000 deposit, your income, including investor fees, will reach $5,000.

You'll agree, the difference is simply enormous, especially considering that many managers manage even more impressive sums.

Hedge fund managers are usually the next step after a trader has proven themselves in independent trading or PAMM accounts .

In most cases, traders themselves organize such investment companies and only then hire managers.

Experience shows that investors are quite willing to invest in hedge funds, so the capital of such companies amounts to billions, and sometimes trillions, of dollars.

The situation is best summarized by the following figures:

On average, such funds show annual returns of 20-30%, with some of this money going to investors and some remaining with managers.

Imagine how much a trader would earn if they managed $10 billion.

After this, it becomes clear that it is the managers of hedge funds and investment companies who earn the most on the stock exchange.

At the same time, the main condition for becoming such a manager remains stable and profitable trading over several years.