Trade - Trade.com

[Hulas]

The brokerage I used to trade with for a little while has now offered some new programs to consider. One of them deals with the pool of investments baskets with various proportion of conservative and alternative assets. The company assures they've worked hard on forming these baskets and some company named Deloitte is responsible for verifying these investments and monthly returns on them. I know Trade.com as a licensed brokerage, but have no idea whether Deloitte auditor can be held responsible is something goes wrong with these investments. What exactly do you think there role is in this relationship between brokerage and a retail investor? Thank you for your opinions!

 

[kirana]

Nowadays forex industry keep evolving into new sort of investments. More brokers keeps offering new scheme to keep relevant as well. Regarding the question as long as the broker is regulated in any countries that should be okay.

 

[Hulas]

Thanks for your reply! Didn't really know this is a common trend nowadays for brokers to offer additional services like investments baskets. But I wasn't really searching such information, so you are probably right. I'm just trying to understand the role of audit companies here.

 

[Spellweaver]

I don't think auditor can be held responsible for investments failure. Deloitte is a top-class company well known in the whole world. They can help optimize and balance investments in terms of risks. But don't expect anyone to accept the responsibility for what will happen on the market. Responsibility is always yours. You are the one carrying risks here.

 

[Hulas]

True, nobody is that much interested in saving your capital and multiplying it as you are. But with age I came to realize that this is very difficult to turn every step into a DIY project. Sometimes it's just enough to choose a reliable partner having more competence. I've known Trade.com for years to be a decent brokerage, so now I'm wondering if their stuff is professional enough to be making some financial decisions for me.

 

[2iquelo]

Working with Deloitte is really a good sign in my opinion. A close friend of mine worked in this company for over 10 years being a risk manager (she changed her career path now). I know they really did a good job there on business appraisals. I guess in this particular case the role of audit company is to find out whether the collection of stocks in the investment basket really corresponds the risk/profit expectations of it. This is a rather difficult task, because you've got to go through tons of reports and know well the market situation in every single business segment in order to do this job well. This is really the field where it's better to rely on professional opinion. So basically your only role here is to choose whether you want to chose more alternative investments with higher risks but tremendous potential or stick to blue chips. Or may be find a golden mean in a certain proportion.

 

[Spellweaver]

I've visited once again the page of the brokerage. I think you've said that you know the brokerage cuz you used to worked with it. Did you mean spread-betting? Have you tried that with Trade.com?

 

[Hulas]

I don't even know what spread-betting is to tell the truth I used to trade CFDs with this brokerage for several months. I soon got disappointed in daytrading. I think market is the great place to earn money, but you know, I'd prefer long-term investments at the moment. And I'd also like somebody else to be making these decisions about which stock to include in the portfolio and which are to be missed out. I turned my attention to Trade.com because they've started offering something I am actually interested in now. Still thinking about this opportunity. When I was a day trader Tradecom was 100% CFD brokerage. Lots of updates have happened since those times.

 

[Spellweaver]

Yeap, at the moment the list of the services offered here is rather long. Spread betting is a kind of trading when you don't own the asset you trade. You basically place a bet on the direction of a price move. Depending on how far the price went you will get your loss or profit. I am actually very interested to try SB, and Trade.com seems to be a good find for it as this is probably the only CySEC regulated brokerage I know to offer it.

 

[Hulas]

I tried hard but I see no difference in what you described with CFDs. With CFDs you don't own the asset as well. Rest seems same too. And I still think all this fuss with day trading is too tiring.