i was wondering if i can open a managed forex account with a low budget and if it makes any sense and most important where can i do this

Be very careful with managed forex accounts Most of them Lose money I’m telling you because I’ve seen it. Just a precaution make an Extensive Due Diligence ask for at least 3 years of track record having in mind of course that past results don’t guarantee future results. Have at least 5 to 10 possible managed account options so you can decide in the end the better one (if any).

What is a low budget to you? 5K, 10K? they are a few managed account that has a minimum 5 – 10K opening balance, others has 25K, 50K, 100K. I cant give you any recommendation because like you must perceive from my tone I don’t know any successful managed account. Good Luck. (Remember it is soo easy to lose money).

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So…I happen to have a little less than $100k – which I know is a tiny amount for professional capital.
And…that’s why I am thinking on how to raise additional funds. One of my ideas was to start a hedge fund and offer investors the option to open account online and deposit money easily…as if this is some online stock brokerage or forex, etc. I am also rethinking whether it will be a good option to offer some minimum interest rate per annum – like 6% minimum. Personally, I work as a software developer at a relatively big company so creating the website will be free in my case – most money will be spent for legal fees and marketing. Finally, I trade options, stocks and bonds for more than 5 years and 1-2 strategies that look as a safe bet – so offering 6% APY looks achievable. But…you know…the obstacle are obvious (weak ecomony, lowered investor’s trust, no track record…etc.).

thanks in advance!

Having started a hedge fund myself, you need to see a lawyer. You can’t start a hedge fund and then hold it out for public investment like an online stock brokerage. Hedge funds are for qualified investors who sign up to be limited partners in a fund offered by you that has an offering memorandum that they need to agree to first (and 100 other complications with your idea). You can’t even allow access to your website without at least some token approval process first. You surely can’t allow people to "invest" online.

Prior to soliciting any clients for any sort of investment vehicle you need to be straight with the SEC and/or CFTC which means passing the Series [whatever is your thing] and registering your company with the proper authorities (otherwise you can’t even take the exams).

Guaranteeing a minimum return makes you look like an idiot or a scammer. You can’t "guarantee" a return higher than the risk free rate and your guarantee wouldn’t mean anything anyway as investors would have to sue you for their return and you would just close up shop and bankrupt the entity anyway.

Anyway, you don’t just start a hedge fund and expect high net-worth individuals and institutions to come to you (those are the only possible clients). You do $30K – $100K wrth up legal work, set up off-shore entities, write offering memoranda, find seed capital, and a whole bunch of stuff I had to learn after spending 10 years in hedge funds beforehand.

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