As a beginner, HFM copy trading has quickly become one of the most popular ways to invest and for busy traders to minimize hassle. Rather than placing trades manually, you are able to copy professional and experienced traders. HFM (formerly HotForex) has a trusted and very easy copy trading platform called HF Copy, where anyone can join as a “Follower” or as a “Strategy Provider.”

In this article, we will discuss how HFM copy trading works, what to check before copying a trader, and some tips to help you succeed.

How to Start HFM Copy Trading

1. Create an HFM Account

Sign up on the HFM website.

Complete the KYC (Know Your Customer) verification.

Select your account type as HF Copy Account.

2. Fund Your Account

Deposit your required minimum (generally $100 if you are a follower, $500 if you are a strategy provider.)

Decide your funding method: bank transfer, e-wallets, or credit/debit card.

3. Choose a Strategy Provider (Trader)

Go to the HFM copy trading leaderboard, where you will be able to see a list of strategy providers available.

Each trader’s profile will have the following:

ROI ( Return on Investment)

Maximum Drawdown

Follower Count

Trade History (Win/lose average)

Profit share fee

4. Allocate Funds

Determine how much money you would like to use to copy that trader.

The system will take care of copying their trades to your account based on your capital allocation automatically.

What is HFM Copy Trading

HFM copy trading is a style that allows investors to copy the trading positions of professional traders automatically and in real time.

Strategy Providers (SPs): professional traders who allow others to copy trades.

Followers: investors who can put money towards copying the strategy providers’ trades automatically.

With HFM copy trading, followers do not need to undertake a rigorous summary of their trading activities due to their reliance on the strategy provider’s strategy, skill, and know-how.

How To Find Best Strategy Copying a Trader

When considering joining a strategy provider on HFM, it is important to look past high profits. Here are the key metrics to identify:

1. ROI (Return on Investment)

Displays the amount of profit the trader has produced as a percentage.

Typically, a stable ROI between 30% – 100% per year is considered sustainable.

2. Maximum Drawdown

Represents the highest percentage of loss that the trader experienced.
Typically, a trader performing safe methods will have a drawdown below 30%.

3. Trading Period

A trader with a minimum of 6-12 months of performance history can typically be seen as more reliable than a trader with results over a very limited period of 1-2 months.

4. Followers/Reputation

Typically, a higher amount of followers means they have built a level of trust with more traders, but always use this information in combination with performance assessment.

5. Profit Sharing Fee

Typically, Strategy providers will take a fee of approximately 20-30% of our profits, and it is commonly referred to as profit profit-sharing fee.

Find providers that have a structure that is reasonable and fair.

Final Thoughts

The HFM copy trading platform is an ideal method for all new traders who want to start trading in financial markets without committing years learning technical skills. Upon reviewing trader profiles to examine metrics like ROI, drawdown, history, and commissions, you will be able to select and follow verified strategy providers and steadily grow your investments.

Remember, copy trading is not a race to earn quick profits, but to earn consistent returns with good risk management.

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