ZuluTrade.com is a free peer2peer online trading network operated by ZuluTrade Inc. a NFA and CTFC regulated financial services company. ZuluTrade generate their revenue in the form of commission for sending trades to their partnered brokerages. This revenue is then shared with the signal providers who operate on the ZuluTrade platform as it is their signals which generate the trades.
So essentially ZuluTrade is a venue where signal providers can share their Forex signals with others and in return make revenue from gaining followers who place trades using these signals. ZuluTrade is a prime example of the kind of social trading that is becoming more and more popular throughout the Forex industry. Their are wide number of signals on offer at ZuluTrade with many signals having a long and profitable history, for example some of the most sucessful traders at ZuluTrade have made several hundred thousands of dollars worth of profits excluding the commission they have made on top of this. This means that there are some incredibly successful systems at work on ZuluTrade network, as you expect there are also some pretty rubbish trading systems too.
All the information about the different trading systems on ZuluTrade is clearly transparent with you being able to go back into the signals history and see the various positions opened and closed and how many pips where earned. The ZuluTrade system also suggests the minimum amount of equity required to operate the various systems, with some of the most profitable systems requiring significant amounts of equity to operate. You can also see whether the user who created the system has had previous systems which blew up and went totally bankrupt.
As with a lot of social trading platforms their are individuals who have created high risk systems in attempt to quickly gain followers and make significant amounts of commission. These high risk systems are liable to blow up with you potentially using losing all of your capital in a serious of bad trades. ZuluTrade does a reasonably job at labeling high risk trading systems as such, but I am sure that a number of high risk systems do slip through their detection systems. But you do have a wide range of different system providers you can copy.
ZuluTrade supports a large number of different brokers with a number of both EU and US regulated brokerages to pick between. Some of the brokerages that support ZuluTrade don’t have the best of reputations while others have pretty good reputations. However their is a wide enough range of brokerages that you should be able to find one which you are perfectly happy with. A thing to note is that different brokerages offer differing amounts of support for ZuluTrade etc, and this is something that you should consider before opening a ZuluTrade account with one of them.
All in all, I would have to say that ZuluTrade is the best social trading experience I have come across. It’s far from perfect but it will be right up many peoples street.
This zulutrade seems like a very interesting investing option. Have you already got an active account there?
I do have an account haven't made a deposit yet. I was thinking about signing up for the demo account and then writing about my experiences with it. The only thing I don't like is that none of my favorite CFD Brokers are with ZuluTrade yet. Have you been considering depositing then?