Reliable statistics: The vast majority of presented results are scams, optimized backtests, or systems that do not reflect the real results of a robot or strategy in a live account.
Verify if the results are from a real account: Impressive results can be achieved in demo accounts, but they often don’t translate well into real accounts due to slippage and other factors.
Verify verified brokers on Copytrader: Check the broker/platform ratings on sites like ReclameAqui (in Brazil), Trustpilot (outside Brazil), and international regulations such as the Australian Securities and Investments Commission (ASIC), FCA in the UK, among others.
Minimum 1 year of positive activity for the strategy: Check if the strategy has withstood at least one major crisis (e.g., the Subprime crisis in 2008, the COVID-19 pandemic, the Ukrainian War in 2022).
Calculate the average monthly/annual profitability: Percentage of the strategy’s return (at least 2% per month).
Greed has limits! Strategies with monthly returns higher than 20% rarely last long. It’s not beneficial to double or triple your capital in one month and lose everything the next month. Strategies with monthly returns exceeding 20% may be attributed to luck or a specific market adaptation period. A minimum evaluation period of 6 months is recommended. Also, make sure the drawdown was not too high (ideally less than 30%, as more than 60% is not feasible).
Verify the Copytrader‘s trading style: Position scaling and the maximum percentage loss per trade (ideally not exceeding 5% / 10%).
Be prudent! Never start with high amounts—begin with the minimum possible to test the strategy. (Check FortunaDozer, where the initial investment is only $50).
Check net profitability: Determine the average monthly return and how much is needed to cover costs. Look for strategies where you can activate them by paying a fee, meaning you have no upfront costs, only a commission on profits.
Copytrader match: Slippage: After activation, verify if the results of the copytrader strategy/robot are similar to the results in your account. Some variation is acceptable, but not excessively high. I’ve seen cases where the variation exceeds 50%.
