 Contact Info
Company News
|
An Interview with Al Gomez Director of Managed Accounts at X Capital Management
An Interview with X Capital Management
What is your name and position?
Al Gomez, Director of Managed Accounts at X Capital Management.
What is your professional background?
My professional has been in finance for over a decade. I have been Director of Managed Accounts here at X Capital Management since it's inception in late 2005.
Why do you think investors will be attracted to your fund at such a difficult time for the economy?
With any kind of economic condition some investors are losing some are gaining. X Capital Management has taken the necessary steps to stay ahead of the curve. For starters, we split our managed forex program by becoming strategic partners with London Capital Group (LCG) through LCG we are offering our managed program at a minimum of 50,000 USD or equivalent. Through Advanced Currency Markets we are offering our managed program at a minimum of 10,000 USD or equivalent. We initiated these changes shortly after the credit crisis took hold of the world economy prior to the changes we were offering our managed program at a minimum of 1,000,000 USD or equivalent.
We have a very solid managed fund. Our systematic approach insures that the strict rules are followed. Our program is 100% systematic, our computers generate orders based on algorithmic expressions and executes entries and exits based on the pre-set rules and pre-set risk parameters.
Is the main focus of your business online or offline?
The main focus of our business model is based online. The internet has spurred a level of efficiency, agility and interoperability.
What kind of investor would benefit most from your fund?
Investors who want control of their funds and who want to see their account in real-time. Since we only operate on a limited power of attorney basis. We can only place trades, we can not withdraw or make deposits into their account. This provides clients with a system of checks and balances. The account is in their name at the clearing broker, we execute the trade through the clearing broker on the market. We only make money if our clients make money, we work on a new high water mark system. We use EBS and Currenex, these multi-bank portals provides us with seamless, anonymous pricing from multiple liquidity providers.
Investors new and old in the alternative investment market which includes a wide range from private individuals, institutions, trusts, and retirement funds.
What advice do you have for someone who is just starting to trade the Forex market?
Work out a set of personal parameters that you are comfortable with and trade them with out psychological interference. Anyone can trade, but the key to good trading is to go with the attitude of risk management. Be a risk manager not just a trader. Treat it like a business, you have loses and gains, the key though is to make a habit of the latter not the former. Another thing to work on is mental capacity for trading, you may love trading but it's not going to always love you back. Become stoic to it all. Also, choose a broker that offers STP or ECN services.
How different is the Forex market today from what it was 2 years ago?
Growth in the Forex market been tremendous with volume growing by double digits. Today, more so than two years ago the forex market is earning the classification of an asset class. For long, forex demonstrates high liquidity, transparency, and low correlations.
However, the currency market has taken on the image of "gambling" on the retail front. Ludicrous offerings from brokers offering as high as 400:1 leverage to entice clients to trade with significant risk exposure. This has given rise to clients grinding accounts into parking meter change.
What do you think about Forex scam problem in the on-line Forex brokers market?
A lot of these scams have taken place with firms making their own market. The interbank market does not offer fixed spreads, sometimes spreads will even invert on big news releases. Banks don't like risk so they will cover risks by widening spreads briefly in response to risky events such as non-farm payrolls.
Trading with retail market making firms is a clear definition of conflict of interest. To counteract this retail clients should look into STP or ECN brokers.
Where do you see X Capital Management 2 years from now?
X Capital Management will continue to widen it's client base across the globe at a steady pace.
|
Report an Error
Print
