Chief Trader at TRADAXA
WHAT IS THE NATURE OF YOUR BUSINESS AND INDUSTRY? WHERE DID IT ALL START FOR YOU?
My career began about 10 years ago as an investment banker in London. I stayed in this position for about two years and it was a great opportunity to gain experience and knowledge about the markets in general. The ultimate goal has always been to manage client portfolios, so I started looking for a niche market that could offer very high returns for my investors.
At the same time, the online Forex industry started to develop and it was a very natural choice to tap into this market.
It took me a year to perfect my trading techniques and adapt my analytical skills to this very specific environment. Nevertheless, I managed to double my client’s capital in less than a year. This was the beginning of my love story with Forex….
I am now proud to be working as the Chief Trader for TRADAXA in their portfolio management department. It was important for me to be part of an entity that shares my values and puts its clients at the heart of the business.
Why this specific market? What are your favorite instruments?
My investment strategy relies mostly on currency trading as well as some marginal commodity transactions when a clear opportunity appears.
Foreign currency offers a lot of advantages compared to other markets:
Trading is all about making profits, and at the end of the day, investors judge you on your performances!
Leverage is a tool that allows you to multiply your transactions profit. Where regular stock trading would offer a maximum of 5:1 leverage, Forex can go up to 400:1.
Leverage is a very powerful money-making tool, but beware.. it can also become a very vicious trick. As much as it can help you generate profit, it can also multiply your losses and automatically higher your risk exposure! It has to be used with extreme caution.
2. 24 hour trading
Forex never sleeps !
As the trading of foreign currency is not centralized in a specific exchange, it can be traded at any time during the week. This market suits all variety of traders, from the professional who spends 15 hours a day in front of his computer, to the family-man who likes making one or two transactions after work.
You can trade from anywhere in Europe, Africa or America, the market will always be open and offer profit-making opportunities. This is definitely one of the main reasons Forex has become so popular.
3. Make money in any market conditions
Whereas old fashioned trading only works on the “buy low and sell high” principle, Forex allows you to make money in any market conditions. Whether markets are going up or down, you can choose to trade any trend. For a trader, that simply means that chances of making money are doubled!
4. Perfect liquidity
With daily volumes worth 3.5 trillion Dollars, the Forex market is known for being the most liquid market in the world. In comparison, this is far larger than the traditional stock exchange!
If you are active on the stock market, you most certainly would have encountered a situation where you wanted to buy a number of shares, but there was simply no counterpart to sell them to. You haven’t been able to execute your transaction and the direct result is a missed opportunity. Nothing is more frustrating than spotting a great deal opening and not be able to take advantage of it due to a lack of liquidity!
You will never find yourself in this situation with the Forex market!
In addition, the currency market is very volatile. The rates constantly vary upward and downward, allowing you to make a series of short transactions without exposing yourself to too much risk.
5. Healthy market
The Forex market is much healthier than equity because it cannot be manipulated. If you opt for a medium term approach, you will make decisions based on the macroeconomic environment. Factors such as interest rates, sovereign debt or unemployment rates are public data that cannot be concealed or influenced. Conversely, with regards to the stock market, even after a thorough analysis of a company, any announcement of the management can turn everything upside down overnight and have a disastrous effect on your investment.
Forex is a market that knows no crisis!
WHAT ARE THE MOST MEMORABLE MOMENTS IN YOUR CAREER?
The day my bank account reached the 7 digits
ANY BAD MOMENTS YOU CAN RECALL? IF YES, HOW DID YOU OVER COME THEM?
Back in 2008, when the S&P suddenly dropped for no apparent reason! This event was qualified as a ‘black swan’ and lasted for only a few minutes as the result of a manual error made by a senior trader of a large bank. Even though it only lasted for a short period of time before the market corrected itself, it was enough for all our stop losses to be executed and it resulted in a 15% net loss for my portfolio.
This was actually the event that triggered my decision to focus on the Forex market rather than traditional stocks and indices.
What does Africa has to offer
Africa has become one of my main focuses over the last few years. I started raising capital in Benin, Ivory Coast, Congo, Angola and South Africa. There is an ever growing middle-class that raises interest for finance, and online based Forex is booming. I also organize seminars to increase their knowledge and give them the tools to create wealth by trading online.
On a broader perspective, I would like to become more involved in an African financial sector which still has a long way to improve. Easier and cheaper access to banking and the development of micro credit would benefit the entire population.
Where to from Now?
I will keep growing with Tradaxa and help them stamp their physical presence around the globe. We are also currently trying to set up a fund in Africa with some of our existing partners. This fund would hand out a share of its annual profits to local charities. Doing well by doing good… That’s the way to go!