What is a managed account?
An investment account that is owned by an individual investor, held at a clearing firm, and traded by a hired professional money manager. See more information about GCAM, LLC's Managed Forex Account.
GAIN Capital Asset Management (GCAM, LLC) is a sister company of GAIN Capital Group, a leading independent provider of foreign exchange services. GCAM's traders (who average more than 11 years of experience) use a mix of proprietary technical and discretionary strategies to identify short-term trading opportunities. GCAM's managed account program is focused on the most liquid currencies - including the U.S. Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian Dollar, New Zealand and Australian Dollar - providing investors a pure play option for those looking to diversify into the Forex market.
How do I open a Managed Forex Account?
To open a Managed Forex Account you will need to download, complete, and provide us with the following forms:
- Account application and Customer Agreement
- Limited Power of Attorney form
A FOREX.com representative will notify you as soon as your application has been processed and approved.
How do I fund my account?
There are four easy ways to fund your account.
Credit Card
eCheck (ACH Payment) – US bank accounts only
Wire Transfer - The fastest and easiest way to fund your account. US Dollar, Euro, Canadian Dollar, Japanese Yen, Swiss Franc, Australian Dollar and British Pound (Sterling) are accepted. All non-US dollar deposits are converted into US dollars at competitive rates, and your account is funded with US dollars.
Personal or Business Check
For more information on funding your account, click here.
What is the minimum initial deposit required to open a Managed Forex Account? What is the minimum amount allowed for subsequent deposits?
The minimum initial deposit required to open a Managed Account is $5,000. The minimum for all subsequent deposits is $250. All deposit and withdrawals will typically take place on the last business day of each calendar month.
Where should I send my application?
There are three easy ways to submit your account application.
- The fastest way to provide us with your completed account application is to scan your documents and attach them to an email sent directly to us at support@forex.com.
- By fax: 908.731.0777
- Regular mail:
FOREX.com, ATTN: New Accounts - GCAM Managed Account
Bedminster One
135 US Highway 202/206
Suite 11
Bedminster, NJ 08921
How has the Managed Forex Account program performed in the past?
Click here to view past performance of the Managed Forex Account.
How are the management and performance fees assessed?
The management fee is assessed monthly at 1/12th of 1% of the Total Account Value as of the final trading day of the month, excluding interest earned but not yet posted.
Here's an example that demonstrates how the management fee is calculated and charged:
| Ending Cash Balance at Month End | $5,500 |
| Ending Marked to Market Unrealized at Month End | $ 500 |
| Ending Total Account Value at Month End | $6,000 |
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| Management Fee % (1%/12 months) | .000833 |
| Management Fee Due | $5.00 |
The performance fee is assessed monthly and is equal to 15% of any new high-water mark in your managed account. A new high-water mark equals the sum total of net realized profit/(loss), plus the change in unrealized profit/(loss) less management fees since inception or the last month end in which a performance fee was paid. However, no subsequent performance fees will be assessed until the account has overcome any trading losses being carried forward to achieve a new high-water mark.
What is a high-water mark?
A high-water mark is the highest value an account has reached since inception or since the last time a performance fee was paid, if applicable. If your account were to lose money, it must first recover to a performance level above its previous highwater mark in which a performance fee was paid before the performance fees can be assessed again. In other words, your account is protected against being charged fees when the performance of the account falls below the highest previous level. An account that falls below the high-water mark cannot be assessed performance fees until the net value of the account rises above the previous level.
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What leverage is utilized in the Managed Forex Account?
The leverage utilized in the Managed Forex Account is typically between 1:1 and 20:1. Actual leverage at any point in time may be less than or greater than the typical range based on market conditions as deemed appropriate by GCAM, LLC in its sole discretion. Increasing leverage increases risk.
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What is the Managed Forex Account trading team's overarching strategy?
The Managed Forex Account uses proprietary processes and discretionary trading strategies to focus on some of the most liquid currencies - including the US Dollar, Japanese Yen, Euro, British Pound, Swiss Franc, Canadian Dollar, New Zealand and Australian Dollar - and appropriates higher leverage (typically between 1:1 and 20:1). Actual leverage at any point in time may be less than or greater than the typical range based on market conditions as deemed appropriate by GCAM, LLC in its sole discretion.
The strategy of the Managed Forex Account program is to identify short- and medium-term trading opportunities (from a few days to intra-day) in the major currencies traded. This approach can be an attractive alternative to the mega-trend approach (where traders look for one or more mega-trends upon which to base their performance for a quarter or a whole year), particularly during periods with no recognizable mega-trend. Conversely, by successfully identifying mini-trends, the trading team may also take advantage of a large portion of a mega-trend.
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Can I have a Managed Forex Account in addition to a FOREX.com trading account?
Yes.
Can I transfer money between a Managed Forex Account and a FOREX.com trading account(s)?
Yes. For more information on how to transfer funds between accounts, please contact a forex specialist.
How often can I deposit/withdraw funds from a Managed Forex Account?
You can submit deposit or withdrawal requests from your Managed Forex Account at anytime. If you request a withdrawal prior to the end of the month, your funds will be no longer be allocated toward trades and your funds will be returned to you following the end of the month in which the request was processed.
How soon after I submit a withdrawal request will you send me my funds?
Withdrawal requests are processed on the last business day of the month and must be received no later than 12:00 PM ET the previous day. Funds typically take between two to three days to be returned from the time they are processed. There is no fee for withdrawal requests via check. Withdrawal requests via wire transfer will incur a $25 fee for wires within the United States, and $40 fee for international wires (including Canada).
Is there a minimum or maximum limit on the size of withdrawals from the account? What about the number of withdrawals?
There are no limits or restrictions to the size or number of withdrawal requests a client may make.
Where can I check the balance and/or performance of my managed account?
You can check the performance of your managed account at any time, by logging into MyAccount.
Are there any special tax implications that can result from a Managed Forex Account?
For U.S. residents, a Form 1099 will be provided for tax purposes at the end of the year. However, for specific tax implications, please consult your tax adviser. International clients are solely responsible for reporting any relevant tax information to their governmental and/or regulatory authority.
