Understanding the Trade Copy Mechanism
In Social Trading, copy trading allows investors to automatically replicate a Signal Provider's trades in their own accounts based on a calculated Copy Ratio.
Note: For Social accounts (Standard, Standard Plus, Standard Pro, Zero and Raw), the Copy Ratio is calculated when an investment is created and recalculated at the end of the billing period or when the Signal Provider deposits into their account. When recalculation occurs, existing investment orders close at current prices and reopen with adjusted volumes based on the new Copy Ratio.
For more detailed information, please refer to our guide on calculating the Copy Ratio for a strategy.
Different Copy Trading Scenarios
Starting to Copy Without Active Trades
When an investor creates an investment while the Signal Provider has no open positions, the system calculates the initial Copy Ratio. Any new trade opened by the Signal Provider is immediately replicated in the investor's account at the same entry price, adjusted by this Copy Ratio.
Starting to Copy With Active Trades
If an investor begins copying when the Signal Provider already has open positions, the system calculates the Copy Ratio differently to account for the spread costs of existing trades. These open positions are then copied to the investor's account with the following considerations:
During market hours: Orders copy at the current market price, which may differ from the Signal Provider's original entry price
When markets are closed: Orders copy at the next available market opening price
Stopping Copy Trading Without Active Trades
When an investor stops copying a strategy with no open positions, the investment closes immediately. The system calculates any performance fee due and transfers the remaining funds from the investment balance to the investor's wallet. The calculated performance fee is transferred to the Signal Provider at the end of the billing period.
Stopping Copy Trading With Active Trades
If an investor terminates copy trading while positions remain open:
During market hours: All positions close at current market prices
When markets are closed: Positions close at the next available market opening price
The system then calculates the performance fee and transfers the remaining funds to the investor's wallet. The Signal Provider receives their performance fee after market close on the last Friday of the month.
Ongoing Copy Trading Activity
After establishing an investment, any new trades opened by the Signal Provider copy immediately to the investor's account at the same entry price. Similarly, when the Signal Provider closes a position, the corresponding order closes in the investor's account at the same price. The system continuously updates the Copy Ratio according to the established formula.
Practical Example
To illustrate how the Copy Ratio works:
A Signal Provider has $1,000 in their trading account.
Investor A invests $500
Investor B invests $250
The Copy Ratio formula is: Investor equity ÷ Signal Provider equity
Therefore:
Investor A's Copy Ratio = $500 ÷ $1,000 = 0.5
Investor B's Copy Ratio = $250 ÷ $1,000 = 0.25
If the Signal Provider opens a 1 lot position:
Investor A receives a 0.5 lot position (0.5 × 1 lot)
Investor B receives a 0.25 lot position (0.25 × 1 lot)
If you need further assistance with copy trading, please submit a ticket through our Service Hub, contact us via Live Chat, or email us at [email protected].