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 its quantity. There are several directions in trading and depending on which one you choose, the amount of your earnings will depend.

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

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

It is clear that with such funds you will not earn much, and if you abuse leverage, you will earn money, but not for long. Therefore, independent trading with your own funds brings the least amount of profit.

Managing PAMM accounts is a great opportunity to increase your earnings tens or even hundreds of times.

Judge for yourself, if with a profitability of 10% per month you earn only $100 from $1,000, then when working as a manager on a PAMM account with a deposit of $100,000, your income, taking into account remuneration to investors, will already be $5,000.

Agree, the difference is simply huge, especially considering that many managers manage more impressive amounts.

Hedge Fund Managers are usually the next step after a trader has proven himself in independent trading or on PAMM accounts .

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

As practice shows, investors are quite willing to put money into hedge funds, so the capital of such companies amounts to billions and sometimes trillions of dollars.

The situation is best characterized by the following figures:

On average, such funds show annual profitability of 20-30%, part of this money goes to investors, and part remains with the manager.

Imagine how much a trader will earn in this case if he manages an amount of 10 billion dollars.

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 for several years.