Open Account : Types of Accounts
Choose the type of trading account that fits your needs.
FULL-SERVICE ACCOUNT
The Full-Service Account is recommended for clients who prefer assistance and/or advice when investing in commodity markets. In addition to the standard benefits of every CFOS account, you will also receive professional, one-on-one attention from your CFOS broker including frequent account and investment strategy reviews, instructions on proper trading procedures, personal consultation on risk management considerations and ongoing position analysis.
The Full-Service Account is not a bad idea for new investors - you could choose to start off with a Full-Service Account and, for a reasonable commission, take advantage of one-on-one broker assistance. Then, once you feel comfortable making your own trading decisions, you could simply switch to a Self-Directed Account with lower commission rates.
As with each CFOS account, you can choose to either place orders using the online trading platforms or you can call to speak with a live broker on the CFOS brokerage desk to place your orders. There is no extra charge to place an order via telephone.
*Please note that online trading is only available to experienced commodity traders who are proficient in all aspects of futures trading from order placement to monitoring margins. Inexperienced traders must place their orders via telephone.
Please note that CFOS Full-Service Account commissions are based on the following factors: account size, trading frequency and amount of brokerage assistance required. A reasonable commission rate must be agreed to by both the CFOS broker and the client before trading in the account is allowed. Typical full-service commission rates for commodity trading accounts range from $40 to $80 per round-turn (one rate to get both in and out of a position).
Please contact us if you have any questions regarding the CFOS Full-Service Account.
SELF-DIRECTED ACCOUNT
The Self-Directed Account is recommended for clients who are self-reliant when making trading decisions and entering trades. CFOS broker assistance is minimal and most contact with the client is limited to technical issues or taking orders/reporting fills.
As with each CFOS account, you can choose to either place orders using the online trading platforms or you can call to speak with a live broker on the CFOS brokerage desk to place your orders. There is no extra charge to place an order via telephone.
*Please note that self-directed online trading is only available to experienced commodity traders who are proficient in all aspects of futures trading from order placement to monitoring margins. Inexperienced self-directed traders must place their orders via telephone.
Please note that CFOS Self-Directed Account commissions are based on the following factors: account size, trading frequency and amount of brokerage assistance required. A reasonable commission rate must be agreed to by both the CFOS broker and the client before trading in the account is allowed. Typical self-directed commission rates for commodity trading accounts range from $25 to $40 per round-turn (one rate to get both in and out of a position).
Please contact us if you have any questions regarding the CFOS Self-Directed Account.
PROFESSIONALLY MANAGED ACCOUNT
Managed Accounts are for the individual or institutional investor who is simultaneously performance oriented and risk conscious when considering portfolio investments. Investors who open managed accounts can take advantage of experienced Commodity Trading Advisors (CTA's) who run commodity investment programs that have proven successful over the years. CFOS has business relationships with a number of professional CTA's that offer programs investing in numerous commodity markets including, but not limited to: stock indices, bonds and treasuries, energies, metals, forex, grains and meats.
The greatest benefit of investing with a professional Commodity Trading Advisor (CTA) as opposed to investing in a hedge fund is the fact that CTA's are regulated by the Commodity Futures Trading Commission (CFTC) and National Futures Association (NFA). CTA's are required to regularly provide investors with financial results and "Disclosure Documents" containing specific information about the CTA's professional background, details of the commodity investment program, audited performance history, any existing conflicts of interest, and the associated risks of investing in the CTA's investment program. Hedge funds and hedge fund managers are not subject to the strict governmental compliance regulations and guidelines that each and every CTA is required to adhere by.
Professional money managers can require minimum initial investments ranging anywhere from $30K to over a million dollars, and usually charge one or more of the following fees: commission, management fee and/or incentive fee. CFOS recommends Managed Accounts as a way for investors to achieve portfolio diversification and, further, CFOS recommends investing only a portion of an overall retirement or investment portfolio in commodity investments.
CFOS, as an entity, does not manage client accounts. However, the professionals at CFOS have over 17 years of relationships throughout the commodity industry and can assist you to ensure the proper selection of a reputable money manager, with your financial objectives and risk considerations in mind.
ONLINE TRADING ACCOUNT
*Online commodity futures trading accounts are available only to experienced commodity traders who are proficient in all aspects of futures trading from order placement to monitoring margins.
Benefits of online commodity futures trading include:
(a) Quick and reliable real-time commodity futures quotes
(e) State-of-the-art electronic order entry and account information software
(b) Analytical tools to assist in your trading decisions
(c) Real-time account information
(d) Quality research for all commodity futures markets
Online Trading accounts will also have telephone access to our commodity brokerage desk as well as a telephone number directly to the respective FCM's 24-hour futures brokerage desk in the event that a client is unable to operate the order entry software due to power, computer or software failure. The Technical Service Departments for our online clients are friendly, knowledgeable and stand ready to assist you in downloading and installing the order entry software. They are prepared to troubleshoot any problem you may have at a moment's notice.
*Online Trading commission rates are based on trading frequency, contracts traded and amount of broker assistance actually required. Online Trading commission rates typically range from $15-$30 per round-turn and may vary from customer to customer.
