I have a VPS that runs my EA and I have plenty of resources to run multiple terminals.
Is it better to deposit $10,000 into a single broker or should I spread it across 5 different brokers?
Understandably I will have to pay more fees if I use multiple brokers but I figure that I would get more liquidity and flexibility this way.
What is your advice?
Its depend to your EA type ,
If martingale at loss so need big money,so 1 broker 1 account
but if martingale at win, u just need small amount , like here
so 1 broker with multiple account or multiple broker with different account.more account more better ,
if 100 account with a different strategy, if the loss was 99 account, then the one profit account ,recover the entire loss at 99 account
there is no martingale involved at all and all orders are the same lot size. im just assuming that smaller orders are easier to fill and are less likely to be the subject of foul play from the broker.
It really depends on what kind of a person you are and which broker you use. If you trust your broker and your strategy needs more money on the account then go ahead and deposit the money at one broker.
If you do not want to take the risk to have all the money at whatever reason at one broker then you can diversify your accounts. This is however more work, fee etc.
Also important where you are coming from. If you are a US person then you have less choices, if you are from other part of the world then you can choose between many brokers.
Risk wise it is best to use multiple brokers. Don’ t put your eggs into one basket. You are right on the liquidity.
In Canada so still plenty of options even though some brokers have backed away from Canadian clients. The extra fees and paperwork are understandable.
Ok just confirming. Also I get paranoid that a broker may be a market maker who closes unfavorable orders. I guess its a way to hedge against brokers that tamper or have poor connections or withdraw policies.
my advice is: Keep your money in the bank and learn how to trade manually…not a single EA makes money and you will only end up losing your money regardless if you have the money with one broker or 10 different brokers…once you know how to trade manually find yourself FCA or ASIC regulated broker and make as much money as you can…
Irrelevant to my question but thanks… I guess…