Skip to main content
Copy Trading Agreement
TruBit avatar
Written by TruBit
Updated over 5 months ago

1. Potential for Losses

  • Copy trading might result in losses if followed lead traders aren't as successful as perceived.

  • Even lead traders with a consistent profit history might not guarantee future performance.

  • Market conditions can change, and strategies that once worked might fail.

2. Misinformation and Fraud

  • The copy trading scene might have misleading information and false track records.

  • Despite increasing regulations, there are still fraudulent activities in copy trading.

  • It's crucial to research and identify reputable lead traders and platforms.

3. Financial Considerations

  • There might be fees associated with copy trading, adding to risk exposure.

4. Dependency on Experienced Lead Traders

  • Copy trading entrusts someone else's judgment regarding investments.

  • Even skilled lead traders can make mistakes, leading to unintended losses for copy traders.

  • Not understanding a lead trader's full strategy can result in taking unintended risks.

5. Statistical Risks

  • Copy traders might assume risk levels beyond their account capacity, risking significant capital loss.

6. Portfolio Management

  • Passive portfolios, which haven't adapted to market changes, might have lower returns, affecting copy traders negatively.

7. Inherent Market Risks

  • All investments come with inherent risks, regardless of how seasoned the lead trader might be.

8. Theoretical Past Performance

  • All past performances, risk data, statistics, and other user-centric information on our website and apps are theoretical and should not be construed as a harbinger of future results. Theoretical performances have innate limitations, with no assurance of mirroring past results. Factors like market behavior, account balances, user preferences, and trader outcomes could cause real-time Profit and Loss (PnL) metrics to diverge from historical data.


If you have questions regarding this information, please contact the TruBit Team via our chat channel or email us Here and we'll be in touch!

Did this answer your question?