5 must-haves for your copy trading platform

Nowadays, copy trading services offer a lot of ready-made solutions for brokers. Some companies even choose to develop this kind of software themselves, which, in our opinion, is not always reasonable in terms of cost and, of course, the result. Today we would like to talk about ready-made cloud trading platforms and how to choose the best one. Based on our clients' requests, we have highlighted top 5 must-have options for a copy trading platform. Those are the requests our clients mention more or less often.

1. The reliability of the copy trading platform

This is the number one client request. Everybody wants stable operation without the software crashing. Nothing irritates broker clients more than a service where they have to manually correct or copy orders which are lost or corrupted due to the loss of connection to MetaTrader, which inevitably happens when the copy plugin is externally connected to MT. And this is exactly how most copying platforms work. UpTrader has solved this issue by writing a plugin in a way that all trades are copied at the MT core. Besides a guarantee against losing trades, this design also provides maximum speed which is also an important note from brokers.

2. The accuracy of copy trading

If the previous point is more about stability of the service and smooth operations and avoiding situations where the service constantly disconnects and you have to contact support to restore the lost trades, then this must-have is directly related to the distribution of profits. This problem is extremely sensitive and vital. After all, no one wants to lose a penny of their profits. This is especially sensitive for clients who are interested in the accuracy of profit distribution between all investors in MAM and PAMM trading modes. Automatic distribution of profits down to a cent is critically important in a situation where different deposits, copying ratios, and additional deposits are combined, as well as in after-hours withdrawals. It is difficult to manually recalculate all this, and the process is not error-free. Therefore, when choosing a service, it is important to pay attention to the accuracy of copy trading and profit distribution according to the results.

3. Social trading platform vs MAM / PAMM

The main principle of the copy trading platform essentially works the same for everybody. However, different variations and nuances co-exist on the market. For instance, UpTrader has MAM, PAMM, and social trading. PAMM accounts used to be the most popular. It is a common investment account to which investors transfer their money and where the trader trades on the total amount without showing their trades. This is an ideal account for those who know how to trade large sums and have the appropriate strategies but do not want to share their secrets of trading. Lately, social trading has become trendy. In this mode, a trader trades on their separate account only with their own funds. It is convenient for some people because they do not need to worry about the total amount of investment or be responsible for client funds, all along using their usual strategies. This trend has been very popular recently. 3 out of 5 clients request social trading.

4. Convenience

User-friendly interface is often a matter of taste and habit, but there are things that all brokers recognise as indispensable to their work. We are talking about a unified client management system. Historically, the investment service interface and CRM are two separate entities, that is, the connection between them is weak or absent, which actually creates the need to manage two independent systems simultaneously. A situation then arises where traders and investors have to log in to two systems, and their accounts and trading history are independent.

Brokers naturally want everything in one place, so many of them develop their own services for convenience. However, in our experience, it is too expensive and time-consuming to produce in-house software. With this in mind, we have been developing the service as a unified system from the very beginning. If there is a market demand, we have to satisfy it.

5. Copy trading platform for MetaTrader 4 and MetaTrader 5

The last must-have seems quite obvious, but we still want to say a few words about it. Back at the beginning of 2021, when UpTrader's team was finalizing the copy trading platform for MT4, it was all the clients were asking for. There was barely any interest towards the plugin for MT5. By the end of the year, the situation had changed dramatically. Everyone is asking only about the MT5 service, while the MT4 is almost forgotten. It seems that the Metaquotes policy is yielding results; since it has begun to cost almost as much to buy your own MT5 server as to open a White Label MT4, everybody wants to have their own server. Which gives an insight into where products for the brokerage market will develop in the next few years.