CopyTrading and Advance FX from Karoll Investment Broker

What is CopyTrading?

If you want to trade on a certain market, but you lack knowledge and skills or simply do not feel confident, it is possible to copy the trades of another trader using the copy trading service. Thus, depending on the settings you have chosen and the risk management you have set in advance, you will receive the same positions as direction of the relevant trader (signal provider) and trade sizes according to the parameters you have set.
Thanks to the established in 2023 partnership between Pelican Exchange Limited (representative of London & Eastern LLP, licensed by the Financial Regulator in England) ("Pelican") and Karoll AD, the copy trading service is available to Pelican clients and through the platform Karoll Meta Trader (Carol MT4). More information about the copy trading service available through Karoll can be found here.
Investors should be aware that copy trading does not constitute provision of investment advice or portfolio management by a certified investment advisor, and through following the positions of the trader you have chosen, you may suffer significant loss, including loss of your entire account balance. When using the copy trading service, you act at your own risk and the decision to follow a certain market behaviour is entirely yours. The trader you have chosen (signal provider whose market behaviour you will follow) does not have any information about your financial capabilities, risk appetite, experience and knowledge in the investment area, does not assess how appropriate and relevant is to follow certain market behaviour in light of your profile and it is not responsible for possible losses you may suffer.

Possibility to follow the market behaviour of Karoll (Advance FX)?

By using Karoll MT4 platform Karoll clients will be enabled to follow the market behaviour of hundreds of signal providers, including the possibility to copy the market behaviour of Karoll AD, by following the Advance FX (AFX) accounts held by Karoll AD. The trades on them are realised within the full range of instruments on the Karoll MT4 platform.
The trading decisions and the specific trades are realised by Dimo Dimov – a trader with over 23 years of experience in the financial market, who is a holder of an investment consultant license from the Financial Supervision Commission. Investors should be aware that by choosing to copy the market behaviour of Advance FX (AFX) they have to carefully consider the risk of suffering losses. Karoll AD does not provide investment advice or make investment choices on your behalf. It does not collect or evaluate information about your financial capabilities, risk appetite, experience, and knowledge in the investment field, nor does it assess how far Advance FX (AFX) market behaviour is appropriate and relevant in light of your profile, and it is not liable for any losses you may suffer.

Which Advance FX accounts can be copied and what are their trading rules?

We offer four different accounts traded with different strategies, rules and risk management to provide more alternatives according to risk preferences and return expectations. In some of the accounts, the client can choose to trade with up to ten times smaller volumes compared to those traded on the Advance FX accounts, which provides an additional tool for risk management.

AXF Standard

• Opening balance – 1000 euros
• Size of a single position – 0.01 lots for currencies, gold and silver; 0.1 lots for indices (the minimum for the Karoll MT4 platform)
• Permissible positions - up to 5 in different instruments at risk (if a position is with moved stop out to zero or to profit, it is practically not at risk)
• Permissible additions to an already open position – up to 1 with the same volume
• Maximum permissible leverage for the position at risk – up to 1:10 (if 5 positions at risk are opened with the minimum in the platform and to each of them there is one addition also with the minimum in the platform)
• Possibility of receiving smaller positions by the client – no, because the trading is with the minimum permissible size in the platform. If the client has a larger balance, he can configure the position size to best suit his risk profile and return expectations.

Account statistics in myfxbook.com:

AXF Small Positions

• Opening balance – 1000 euros
• Size of a single position – 0.01 lots for currencies, gold and silver; 0.1 lots for indices (the minimum for the Karoll MT4 platform)
• Permissible positions - 1at risk (if the position is with moved stop-loss to zero or to profit, it is practically not at risk)
• Permissible additions to an already open position – no
• Maximum permissible leverage for the position at risk – practically the trading is without leverage, as a single position at risk is opened with the minimum in the platform
• Possibility of receiving smaller positions by the client – no, because the trading is with the minimum permissible size in the platform. If the client has a larger balance, he can configure the position size to best suit his risk profile and return expectations.

Account statistics in myfxbook.com:

AXF Focus

• Opening balance – 1000 euros
• Size of a single position – 0.1 lots for currencies, gold and silver; 1 lot for indices (the minimum for the Karoll MT4 platform)
• Permissible positions - 1at risk (if the position is with moved stop-loss to zero or to profit, it is practically not at risk)
• Permissible additions to an already open position – up to 1 with the same volume
• Maximum permissible leverage for the position at risk – up to 1:20 (if a position at risk is opened with addition to it)
• Possibility of receiving smaller positions by the client - yes, the client can choose up to ten times smaller position as a form of additional risk management. Thus, with an equal opening balance, he will have up to 10 times smaller loss or profit. If the client has a different balance, he can configure the position size to best suit his risk profile and return expectations.

Account statistics in myfxbook.com:

AXF Risk

• Opening balance – 1000 euros
• Size of a single position – 0.1 lots for currencies, gold and silver; 1 lot for indices
• Permissible positions - unlimited
• Permissible additions to an already open position – unlimited
• Maximum permissible leverage 1:300. The account is traded on a margin profile for professional clients and it is not reasonable to copy positions with more than 10% of the trade volume with the same or less capital
• Possibility of receiving smaller positions by the client – yes, the client can choose up to ten times smaller position as a form of additional risk management. Thus, with an equal opening balance, he will have up to 10 times smaller loss or profit. If the client has a different balance, he can configure the position size to best suit his risk profile and return expectations.

Account statistics in myfxbook.com:

AXF Diversified 

• Opening balance – 4000 euros
• Account that automatically receives predetermined positions from the other four accounts. The goal is to achieve a diversified and sustainable account with reduced risk.
• Position Size:
  • From AFX Standard – 0.01 lots for currencies, gold, and silver; 0.1 lots for indices (minimum for the Karol MT4 platform) – same positions as the sending AFX Standard account.
  • From AFX Small Positions – 0.01 lots for currencies, gold, and silver; 0.1 lots for indices (minimum for the Karol MT4 platform) – same positions as the sending AFX Small Positions account.
  • From AFX Focus – 0.02 lots for currencies, gold, and silver; 0.2 lots for indices (minimum for the Karol MT4 platform) – positions are 5 times smaller compared to the sending AFX Focus account.
  • From AFX Risk – 0.01 lots for currencies, gold, and silver; 0.1 lots for indices (minimum for the Karol MT4 platform) – positions are 10 times smaller compared to the sending AFX Risk account.
• Permissible Positions - according to the rules of the four accounts.
• Permissible Additions to Already Open Positions – according to the rules of the four accounts.
• Possibility for Receiving Smaller Positions by the Client – no, because trading is practically done with the minimum allowable size on the platform. If the client has a larger balance, they can configure the position size to best match their risk profile and return expectations.

Account Statistics on myfxbook.com:

What should I do to start copying one or all Advance FX accounts?

You need to open an account in Karoll Mt4 and to download the CopyTrading mobile application. With your registration in the application, you agree to the general terms of Pelican Exchange Limited and enter into a contract with them to use the copy trading service.
Then you select the account you want to follow, configure the risk management parameters you want your account to trade at, and that is all. Thus, you will receive the positions from the account you are copying according to the parameters you have chosen and there is no need for any other actions on your part (unless you want to change the risk management parameters in the future).

Is there a minimum or a maximum amount that I need for copying an Advance FX account?

You can copy any Advance FX account with any amount you choose. You decide with what amount you will copy these accounts and you choose the positions you will use to do it according to your acceptable risk and expected profitability. If you have a smaller or larger amount than the amount these accounts are traded with, use the option to receive a smaller or larger position to get the risk profile you want. You can always get additional information about each Advance FX account to specify your risk management settings in the CopyTrading application.

How can I track the profitability on my account?

You can track your profitability in both the Karoll MT4 platform and the CopyTrading application. Each transaction and movement on your account can be found there. In addition, you will receive daily and monthly account statements to the e-mail address you provided when you opened your account in Karoll MT4.

Can I add or withdraw funds to and from my account at any time?

Yes, you can add or withdraw funds at any time to and from the account you use for copying in the Karoll MT4 platform. However, be aware that after each deposit or withdrawal, you have to revise your risk management parameters (trade volume and permissible loss) in the CopyTrading application, because your account balance will change and the return and risk percentages will be different.

What are the fees?

Investors should be aware that the Copy Trading service is provided under a contract between the client and Pelican. For this reason, clients pay Pelican a good management fee to use the Copy Trading service. The fee will vary depending on which signal provider is copied. Before activating the copy trading service for the relevant signal provider, each client can acquire detailed information about the fees due.

The information on fees provided in this section is not intended to be thorough, but rather to inform the potential users of the service in general about the structure of the fees they pay when using the service.

Investors using the copy trading service of Advance FX (AXF) accounts shall pay as follows:

Good Management Fee – 25% of the generated profit on a monthly basis.

Every month in which your account balance (Equity) including the result of already closed and currently open positions is greater than the previous basis, when a good management fee was paid, you will be charged a 25% fee for the newly made profit.

Example:

You start trading with EUR 10,000.

At the end of the first month, your account balance (equity) is EUR 11,000 – you will pay a fee of EUR 250 (25% on the EUR 1,000 profit) and your basis for subsequent collection of good management fee becomes EUR 10,750.

At the end of the second month, your account balance (equity) is EUR 10,500 – you do not owe a good management fee, because it is less than the already established basis of EUR 10,750.

In the third month, you add EUR 5,000, and your account balance (equity) at the end of the month is EUR 15,700 - you do not owe a good management fee because your basis after the deposit has changed from EUR 10,750 to EUR 15,750, and the equity on your account is 15,700 euros, which is less than the base.

In the fourth month you withdraw EUR 10,000 and your account balance (equity) at the end of the month is EUR 6,200 – you will pay a good management fee of EUR 112.50 because your basis after the withdrawal has changed from EUR 15,750 to EUR 5,750, and the equity on your account is EUR 6,200, i.e. there is a generated profit of EUR 450 compared to the previous basis when a good management fee was charged. Your new basis for subsequent collection of good management fee will be EUR 6,087.50.

There are no service termination fees.

Karoll AD on its part has entered into a contract with Pelican, under which Karoll AD has the right to act as a signal provider against remuneration paid by Pelican. Investors should be aware that if they opt to follow market behaviour by copying the Advance FX account trades, 90 percent of the management fee they pay to Pelican will be paid by Pelican to Karoll AD, based on the contract signed between the two companies.

The remuneration owed by Pelican to Karoll AD is paid on the grounds of a separate contract signed between the two companies and it is not related to the services provided by Karoll AD to the client.

Is there any guarantee that I will not suffer losses in copy trading?

No, there is no guarantee of the possible outcome. Even if the account you are copying has performed extremely consistently in the past, this does not guarantee similar future success. You could lose money, including your entire account balance.
Investors should keep in mind that when they choose to copy the market behaviour of Advance FX (AFX) they should carefully consider the risk of suffering losses. Karoll AD does not provide investment advice or make investment choices on your behalf. It does not collect or evaluate information about your financial capabilities, risk appetite, experience, and knowledge in the investment field, nor does it assess how far Advance FX (AFX) market behaviour is appropriate and relevant in light of your profile, and it is not liable for any losses you may suffer.

What profitability should I expect on the different Advance FX accounts?

Different Advance FX accounts are traded under various rules for their management and trade volumes. The outcome of leveraged forex trading is always a function of trade volume – larger positions result in higher potential profits or losses. Therefore, accounts with trading rules that allow for a larger trade volume are more volatile in terms of the outcome in both directions. The current performance of each account can be tracked through the presented links for account statistics on myfxbook.com, but it would not be proper if we indicate what the expected profitability is, as it may differ and even be negative. The profitability of your account also depends on the trade volumes you enter in the risk management settings of the CopyTrading application. You decide how to copy the trades based on your risk parameters and expected outcome. However, it is preferable to use smaller positions wherever possible.

Is it possible to set a stop-loss to close copy trading when the threshold is reached?

Yes, in the CopyTrading application, you can set a maximum account drawdown threshold in percentage. If it is reached, all existing positions will be closed and no new ones will be opened.

What is the protection of my funds?

Client funds in Karoll MT4 platform are held in segregated accounts (separate from the accounts of Karoll or our partners). Furthermore, protection from the Investor Compensation Fund is used in case of bankruptcy of the investment intermediary – up to BGN 40,000 of the investment value, but not more than 90% of it. More information can be found at: http://sfund-bg.com/

I have some further inquiries

If you have any further inquiries, you can contact the international markets department at copy@Karoll.bg or by phone at (02) 4008 246.
You can also use the feedback form.

Send Your Inquiry

High-risk trading!

Trading is performed with high-risk instruments such as currency derivatives, and even for accounts that are traded with a small trade volume, there is a high risk of loss. Investors should consider whether they are willing to take on significant risks and whether they have the financial capacity corresponding to their risk preferences.
Investors should keep in mind that when they choose to copy the market behaviour of Advance FX (AFX) they should carefully consider the risk of suffering losses. Karoll AD does not provide investment advice or make investment choices on your behalf. It does not collect or evaluate information about your financial capabilities, risk appetite, experience, and knowledge in the investment field, nor does it assess how far Advance FX (AFX) market behaviour is appropriate and relevant in light of your profile, and it is not liable for any losses you may suffer.