I would like to introduce myself as a trader in FOREX (spot currency trading, particularly GBPUSD, EURUSD, AUDJPY, GBPJPY pairs) for more than 4 years. Overall, I am satisfied with the journey so far.
I am a graduate of University of Ilorin, BA Linguistics (2007) and MBA from Oxford University (2010), you can see more of my profile at www.facebook.com/bayuskam
I have a company registered and incorporated in Nigeria, the company was formerly running Hedge Fund by trading Forex with Alpari (UK), FXopen and FXpro, and is a member of Alternative Investment Management Association of the World (AIMA) and Hedge Fund International (HFI). I want to convert the company to a FOREX brokerage firm particularly targeted towards African Forex Traders.
Our FOREX brokerage firm will be the first of its kind in Africa, as no broker has ever emerged from the soil of Africa because of the regulation. As a member of Hedge Fund International, I have the privilege of attending “hedge Fund World 2011” in South Africa. This submits changed some Regulatory Authorities in Africa. Nevertheless, we are still going to have offshore incorporation in Belize.
Our competitors are Alpari (UK Company), FXpro (Cyprus Company) and AccessFX which is, of course outside Forex.
In 2009, daily retail trading volume from Nigerian clients was $350 million, Ghana was $286 million and South Africa was $512 million.
In the year 2010, these values were $1.7 billion, $1.2 billion and $1.3 billion respectively. Our objective is to tap this market and grow bigger and financially stable before our competitors sight it as a "sector" or opportunity. rolleyes.gif
Our Strategic Edges Are:-
1) 1.4 pips to 1.9 pips spread on EURUSD (IN ALL MARKET CONDITIONS). Similar competitive spreads in other currency pairs as well.
2) All brokers charge $20-$30 fees for deposits. We will charge either $5 or charge nothing.
3) Direct cash deposit/cheque deposit, Bank wire and major e-currencies: No lengthy, inconvenient procedure!
4) No Re-quotes.
Expenses would be $48,500 (initial) + $27,500 (first 18 months marketing and sales)
Also, $7,000 would be monthly expenses.
Total is $202,000 for first 18 months of our FOREX brokerage business.
The Potential Profits are :-
First 3 months - $0
First 6 months = $10,000
7th to 9th month = $15,000
9th to 12th month = $20,000
13th month onwards = $25,000 monthly + $300,000 bi-annually.
The potential profit statistics above means that: on average, retail trader will trade 500 – 1000 times their equity on a monthly basis, if we have 1000 traders with $100 deposit each = $100,000. That is $100,000 in trading equity multiply by 500–1000 = 50-100 million in trading volume. Assume that we take a round trip markup of $150 per million or 1.5 pips i.e. 100 multiply by 0.00015 = $15,000. The more the traders, the more the profit.
I have raised $35,000 for this venture. I require $120,000 further for this venture.
Please see that, we are looking for only those who can join our team and can bring financial and/or strategic advantage to our team.
I don't want more than 8 partners in total (I hope that's good enough number of partners for a firm of this size). Also, all the partners will be automatically board members and hence, all decisions ( including office location) will be made by collective mutual agreement with equal weight to each one's opinion and total transparency.
So, if you can come up with $20,000 minimum backing and preferably a strategic value (like having IT or Accounting or Securities Law experience etc. For example, I have a partner who has over 5 years of experience as Insurance advisory and a sound financial position to back our firm. I have significant trading experience and managed $115,000-$150,000 as managed accounts for past 13 months before trading for myself and being profitable in 11 of these months. So I can take charge of dealing desk), then you are welcome. You can contact me at [email protected]