We are always on the lookout for ways to make our clients’ forex trading experiences more enjoyable and to help position them to be successful. It’s a long-held view at OANDA that when our clients succeed, we too succeed. That’s why, on September 24, OANDA announced it had acquired Currensee Global Inc., a Boston-based software company that pioneered what’s known as copy trading, or mirror trading, with its award-winning proprietary social trading network.
Welcoming Currensee to the OANDA community makes a lot of sense. From a cultural perspective, our corporate values align incredibly well as both engineering-focused companies were founded on the belief that there’s a socially responsible way to serve investors in the forex market. Currensee has shown a relentless effort to ensure incentives are properly aligned between its Trade Leaders, brokers, and retail investors. At OANDA, we have shown dedication in reducing spreads and in making multi-asset trading possible for all regardless of the size of our clients’ accounts or the size of their trades.
As highlighted in a Forex Magnates article last August, FXCM’s CEO, Drew Niv, reportedly said people choose to become OANDA clients for OANDA-specific reasons. I reflected on that statement and found it quite insightful because I know from first-hand experience that OANDA is different from other market-makers. I served as a strategy and business development consultant to this cutting-edge company while I was a Principal at the Boston Consulting Group. It was during that time that I quickly realized why it has been the success story that it is – because OANDA offers investors a truly differentiated and transparent trading experience. Our acquisition of Currensee further illustrates this point.
How does copy trading work?
Through Currensee’s platform, every time a so-called Trade Leader executes a trade, the client’s account (based on their chosen parameters) will automatically mimic that trade by sending that order to the broker platform with which the client is partnered.
Now that we have merged, Currensee’s clients can continue to use their accounts to follow or change their chosen Trade Leaders, and Currensee’s fee schedule remains the same. A rigorous screening process already exists for Currensee’s Trade Leaders Investment Program to select who the leaders are.
For now, it’s business as usual for both companies and our respective clients. Our integration team is diligently working to bring the two platforms together, and in due time, we hope to add copy trading powered by Currensee to fxTrade for all of OANDA's divisions. Ultimately, that’s what we are continually striving for -- we want to give our clients more trading options, and to try to help them be better informed and more profitable over the long run.
Building forex trading prowess
It’s not a secret that trading forex successfully is difficult. It requires education, discipline, and a sound trading strategy.
In essence, copy trading gives retail investors a view of how other traders have been successful. That said the historical success of a Trade Leader is not a guarantee of future performance. But by following Trade Leaders, retail investors can gain a stronger understanding of Trade Leaders’ trading strategies which could build their confidence to continue to develop their own strategies. Alternatively, like many of Currensee’s copy-trading clients, they can choose to use the service over the long-term.
If you have any questions about this exciting development you may wish to read our FAQ page. Alternatively, you can contact OANDA’s Client Experience team. Currensee’s clients can contact their customer service team when the markets are open.