Frequently Asked Questions

What is FOREX?

Off Exchange Retail Foreign Currency Market (Forex), or as it is referred to many times: "forex", "fx" or "currency exchange market", is the term used to describe the trading of world currencies. A currency trade is the simultaneous buying of one currency and selling of another one, e.g. Buying US dollars with euros, buying British pounds with US dollars, selling Swiss francs for Japanese yens etc. The currency combination used in the trade is called a pair.

What time commitments are required?

There is no time commitment required to participate in a Managed Account. All participants are free to make deposits and withdrawals to and from their accounts at their own discretion maintaining the minimum investment requirement. Participants are free to halt trading, close their account or withdraw their funds at any time

How long has FOREX been around?

From the Middle Ages to WWI, currency exchanging was extremely stable and involved very little risk. After WWI, the forex markets were extremely volatile and speculative activity increased tenfold. Due to this high-risk, forex was deemed unfavorable by public society and most institutions. The Great Depression and the removal of the gold standard in 1931 again created a lull in activity, similar to that experienced during the Middle Ages. From 1931 - 1973, there were changes to forex that greatly affected the global economies of the time, but did nothing to change the slow pace of activity. It wasn't until the 1990s when the currency market started buzzing again with activity and the rest, as they say, is history.

Why invest in this market vs. others such as the stock market, etc.?

Do you guarantee a monthly return?

Due to the high volatility and numerous variables involved in trading this market, no guarantees can be made toward an expected or exact level of return or risk of loss. We will always attempt to alleviate trades that are not favorable and which have a higher probability of loss. We will also ensure that proper money management is employed to minimize over leveraged positions from being a potential risk to our portfolio and reducing the relative draw down experienced.

Can I suggest the specifics of a trade? For example, can I suggest you may want to go long or short on a certain currency pair?

Our managed accounts are designed to utilize our trading models to maximize our gains and minimize our risk to loss. We therefore will not accept suggestions from anyone outside of our team of professional traders and our system's recommendations based on our own technical and fundamental analysis.

Do fluctuations in other markets affect the forex market?

Unfavorable fluctuations in other markets could have minor or major effects on the forex markets. However, typical daily movements in one market will not necessarily have any significant effect on the forex markets.

What are the tax implications as a US person vs. International?

Please consult with your Tax Advisor before making an investment in the forex markets.

How much should I invest?

Each investor should consult with their financial advisors to decide how much risk capital should be allocated towards their forex investments.

What is the minimum amount I can invest?

Due to the high volatility and margin requirements of the Spot Forex market, the minimum investment to begin trading with VCG under our managed account program is $2,500.

How safe is my investment?

There are no safe FX investments and as such, each individual investor should consult with their financial advisor to assess the practicality of any investment product. However we use tried and proven trading methods which expose smaller sums per trade and hence, risk small amounts of capital to achieve our expected returns.

Are all accounts traded in the same manner?

We have several programs, that are suited for different investors. We would be glad to discuss the options available. Please complete our questionnaire and one of our representatives will contact you.