Doing things differently to ensure the best experience for our clients.
Every broker has their own approach to foreign exchange trading services. Global Prime’s approach is a true agency brokerage through ongoing relationships with both our clients and liquidity providers. We always aim to provide dependable and responsible trading services with unparalleled support.
The Approach for New Traders
Many brokers have their customer support teams housed in large call centers with the goal of attracting new traders to join and exhaust their funds. If you contact a broker and they start pushing you to open a larger account than you originally intended or they encourage you to skip a demo account altogether, be wary.
Global Prime has a different approach for new traders looking to trade on the Forex market. Instead of pushing new clients to trade with more money we recommend new traders use a demo account for a minimum of six months. We believe that six months is, at minimum, an adequate amount of time for new traders to wrap their head around Forex and better grasp the market.
If you bypass this step you might not understand and appreciate certain aspects of trading that should be understood before investing your own capital. Things such as slippage, leverage and trading psychology are just a few aspects of trading that a demo account can help teach.
Once you are ready to go live, start small – if you are trading profitably after 6 months on a live account then you can look to slowly increase the balance.
Many brokers don’t bother pushing new traders to open a demo account and instead recommend opening a live account at the outset. Providing a live account to a new trader will likely lead to bad trades and in turn, a loss of capital investment.
Global Prime looks out for its new traders by strongly recommending a demo account to get a better feel for the market and learning the intricacies of trading before committing to live trading.
Global Prime and Responsible Trading
Global Prime starts clients off with 1:100 leverage, which is the industry standard. If a trader wants to increase their leverage they will need to speak with us and answer a questionnaire to determine the risk the trader poses and that the trader understands the risks when using higher leverage. This is contrary to other brokers who offer high leverage on signup (often 1:500).
Higher leverage allows a client to open large positions or hold a larger unrealised loss before reaching a margin call.
If you had a large open position that went against you in this example your account balance may have ended up in negative due to the extreme move. By being careful with who we give higher leverage to we reduce the risk of an overexposed account going negative – which is something we never want to see.
For this reason Global Prime focuses on serious traders who can take advantage of our prime broker relationship, professional trading service and unparalleled customer support.
We have been contacted by prospective new traders wondering if Global Prime will cover negative balances or 500:1 leverage and the answer is quite simply, no.
Brokers that offer coverage for negative margins, instant execution, and high leverage on signup should immediately raise suspicion as to whether or not your trades are actually going to market. If they are b-booking the trades there may be a conflict of interest where your brokerage partner stands to earn money as you lose it.
Higher Leverage With Global Prime
Global Prime has additional measures in place to assess the client’s knowledge and experience with Forex before higher levels of leverage can be accessed. This aids both the client and Global Prime to avoid potential negative results. Higher leverage is only offered to clients that can show they understand the risks involved and have sufficient knowledge with trading Forex.
Opening an Account
If you are looking to open a trading account the process is straightforward.
An account can be opened directly through our website, after which you will receive a call and an email from us. All account applications will be closed within 21 days if they are not funded so please ensure that you are ready to fund your account before opening one.
When opening an account with Global Prime, you can be sure that you can contact us by phone, by email or by the live chat on our website at any time during market hours. Our aim is to develop a close relationship with our clients to better understand their needs.
If you are an institutional or high volume trader, we are capable of using our prime broker relationship to create bespoke streams for individual clients. As you grow as a trader we offer the tools and resources to give you more depth for the price you want to trade if needed.
If you need any information or have any queries, don’t hesitate to pick up the phone and give us a call on +612 8277 6611, email us at email@example.com or contact us using the live chat feature on our website.
The information on this website is not intended to be an inducement, offer or solicitation to anyone outside of Australia. Global Prime Pty Ltd, ABN 74 146 086 017, (Global Prime) holds an Australian Financial Services Licence (AFSL) to carry on financial services business in Australia, limited to the financial services covered by its AFSL no.385620.
Any Information or advice contained on this website is general in nature and has been prepared without taking into account your objectives, financial situation or needs. Before acting on any information or advice on this website, you should consider the appropriateness of it (and any relevant product) having regard to your circumstances and strongly recommend you to seek independent financial advice. Please read our Financial Services Guide and current offer document which is available to be downloaded from this website or hard copies may be sent by contacting us on the details provided on this website.
All financial products involves risk and you should ensure you understand the risks involved as certain financial products may not be suitable to everyone. Trading in margin foreign exchange and derivatives carries a high level of risk and you may incur a loss that is far greater than the amount you invested. Past performance of any product described on this website is not a reliable indication of future performance.